The law firm of Oakes & Fosher is presently investigating the alleged misconduct of former securities broker David Kendrick. According to his publicly available FINRA BrokerCheck report, David Kendrick has been the subject of a FINRA sanction.
David Kendrick was a Louisiana based securities broker. He worked in the securities industry for sixteen years. During his career, he was registered with three different securities firms. He is no longer working as a registered securities broker in any fashion.
His Registrations
- The Lincoln National Life Insurance Company (2001-2002)
- Lincoln Financial Advisors Corporation (2001-2002)
- NYLIFE Securities (2002-2018)
The Allegations
In November 2019, David Kendrick was officially sanctioned by FINRA. The findings in this matter state that David Kendrick engaged in an unapproved outside business activity. Kendrick allegedly formed an investment club with multiple member firm customers. Kendrick allegedly exercised complete control over the club’s affairs. Through this club, David Kendrick allegedly solicited $290,000 for private investments. When the firm finally conducted an investigation into these alleged unapproved activities, David Kendrick allegedly claimed he was nothing more than a passive investor–as opposed to the club’s manager. Due to these alleged actions, and the attempt to cover it up, David Kendrick was fined $30,000 and was suspended from acting as a securities broker in any fashion for a period of eighteen months.
What Does This Mean?
Securities firms are supposed to have specific procedures put in place when it comes to solicitation of funds for private investments. Securities firms know that most private investments can be very harmful to investors and want to prevent any harm from taking place. This is why most firms require their registered brokers to disclose any intent they may have to recommend private investments to their customers. This gives firms the opportunity to determine if the investment is unsuitable or if the broker is recommending the security out of a conflict of interest. Securities firms who fail to monitor their registered brokers in this regard have failed in their duty to their customers.
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 David Kendrick, please contact Oakes & Fosher for a free and private consultation. We work on a contingency basis, which means there are no fees charged unless we collect for you.
