The law firm of Oakes & Fosher is presently investigating the possible misconduct of former securities broker Carlos Velazquez. According to his publicly available FINRA BrokerCheck report, Carlos Velazquez has been the subject of a FINRA sanction.

Carlos Velazquez was an Illinois based securities broker. He worked in the securities industry for four years. During his career he was registered with four different securities firms. He is no longer working as a registered securities broker in any fashion.

His Registrations

  • Chase Investment Services (2012)
  • J.P. Morgan Securities (2012-2015)
  • PNC Investments (2015-2016)
  • Waddell & Reed (2016)

The Allegations

Carlos Velazquez was sanctioned by FINRA in May 2018. The findings in this matter state that he was allegedly involved in an outside business without providing full prior notice to, or acquiring approval from, his member firm. The findings also state that he allegedly provided inaccurate information to FINRA in response to a request for a written statement in connection with an investigation into why he failed to disclose this outside business activity to his member firm. Due to these allegations against him, he was fined $10,000 and suspended by FINRA for a period of eight months. He had been terminated from Waddell & Reed two years prior to the official sanction due to the allegations.

What Does This Mean?

Securities brokers, like Carlos Velazquez, are required to disclose all involvement in outside business ventures to their securities firms. This is because outside business activities can often create significant conflicts of interests with securities brokers. Securities brokers experiencing these conflicts may begin recommending private securities to their customers that they have a financial stake in, or they may be receiving cash kickbacks from a third party in exchange for recommending certain private securities, or they may simply recommend unsuitable private investments because of the incredibly high commissions they receive when doing so. Responsibility for preventing this from occurring rests on the shoulders of the securities firm. The fact that a securities broker does not disclose their involvement with these outside ventures does not let these firms off this hook. This is because securities firms are required to adequately supervise their registered brokers to prevent them from engaging in any unauthorized activities.

Oakes & Fosher Can Help

Many investors are unaware of the legal recourse available to them after losing money due to securities broker fraud and/or negligence. The truth is that investors who have lost money in this fashion may actually be entitled to damages. Oakes & Fosher dedicates its entire legal practice to helping investors across the nation. If you, or someone you know, have lost money investing with Carlos Velazquez, please contact Oakes & Fosher for a free and private consultation. Oakes & Fosher handles cases on a contingency basis, which means there are no fees charged unless we collect for you.