Did you lose money investing with Jamie Bennett (CRD# 2740248)?
Galvin Legal, PLLC is launching an investigation on behalf of investors who may have suffered losses investing with Jamie Bennett. If you suffered losses investing with Jamie Bennett, then Galvin Legal, PLLC may be able to help you recover your losses in a Financial Industry Regulatory Authority (“FINRA“) arbitration claim.
As of September 30, 2020, Jamie Bennett’s FINRA BrokerCheck Report contains the following:
SUSPENDED: FINRA has suspended this individual from acting as a broker. Please see the detailed report for more information.
2 Regulatory Event(s)
UPDATE 9/30/2020: According to FINRA’s June 2019 Disciplinary Actions: “Jamie Silber Bennett (CRD #2740248, Sherman Oaks, California) April 30, 2019 – An AWC was issued in which Bennett was assessed a deferred fine of $5,000 and suspended from association with any FINRA member in all capacities for 30 days. Without admitting or denying the findings, Bennett consented to the sanctions and to the entry of findings that while assigned responsibility for his member firm’s review and retention of email, he failed to ensure that it captured, retained and reviewed emails related to firm business. The findings stated that a registered representative at a firm branch office was engaged in undisclosed outside business activity at the time, whereby he also attempted to solicit investments. Reasonable review of the representative’s email may have allowed the firm, through Bennett its chief compliance officer (CCO), to discover these issues. The findings also stated that Bennett frequently—if not almost exclusively—used a third-party email account instead of his firm account to conduct firm business. Based on FINRA’s investigation, only three communications—calendar invites—over the relevant period were directed to or from Bennett’s firm email address. Bennett was unable to produce for FINRA all of his business-related, third-party emails. Consequently, Bennett failed to properly retain his own email, thereby causing the firm to act in contravention of Section 17(a) of the Securities Exchange Act of 1934 and Rule 17a-4 promulgated thereunder. The suspension was in effect from May 6, 2019, through June 4, 2019. (FINRA Case #2015047201702)
Current and Previous Registrations
08/31/2011 – 03/14/2019 SILBER BENNETT FINANCIAL, INC. (CRD#:156435) ENCINO, CA
10/06/2010 – 07/12/2011 SILVER PORTAL CAPITAL LLC (CRD#:114290) THE WOODLANDS, TX
03/30/2010 – 10/01/2010 AMERICAN INDEPENDENT SECURITIES GROUP, LLC (CRD#:135288) SHERMAN OAKS, CA
05/07/2003 – 02/17/2010 EMPIRE SECURITIES CORPORATION (CRD#:2826) EL SEGUNDO, CA
12/03/2009 – 02/16/2010 ARQUE CAPITAL, LTD. (CRD#:121192)
Due Diligence Requirement
FINRA requires broker’s to conduct due diligence on investments and to conduct a suitability analysis when recommending securities to a customer that takes into account the customer’s knowledge and experience. FINRA Rule 2111(a) states that “a member or an associated person must have a reasonable basis to believe that a recommended transaction or investment strategy involving a security or securities is suitable for the customer, based on the information obtained through the reasonable diligence of the member or associated person to ascertain the customer’s investment profile. A customer’s investment profile includes, but is not limited to, the customer’s age, other investments, financial situation and needs, tax status, investment objectives, investment experience, investment time horizon, liquidity needs, risk tolerance, and any other information the customer may disclose to the member or associated person in connection with such recommendation.”
Rule 2111 is composed of three main obligations: reasonable-basis suitability, customer-specific suitability, and quantitative suitability. Brokers and the brokerage firms they work for that fail to conduct adequate due diligence on investments they recommend or that make unsuitable recommendations can be held responsible for the customer’s losses in a FINRA arbitration claim.
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