Palm Beach County Broker Fined, Suspended for One Year for Selling Away
Alexander Jon James (CRD #5630825) is a previously registered broker with more than ten years of experience in the securities industry. From January of 2012 to May of 2017, Mr. James worked at Voya Financial Advisors in Palm Beach Gardens, Florida. Subsequently, he was associated with Allstate Financial Services in West Palm Beach.
On April 2nd, 2020, Alexander Jon James was sanctioned by the Financial Industry Regulatory Authority (FINRA) for allegedly engaging in unapproved, undisclosed outside business activities. Here, our Miami selling away lawyer discusses the allegations against the formerly registered South Florida financial advisor.
Suspended Broker: Former Voya Financial Representative Alexander Jon James
Background & Facts
The alleged misconduct at issue in this case occurred between January of 2013 and March of 2016. During that time, Mr. James was an associate at Voya Financial Advisors in Palm Beach Gardens, After an inquiry, securities industry regulators determined that Mr. James engaged in improper outside business activities and private securities transactions—soliciting large investments from two customers of his member firm.
Alleged Violative Conduct
Under FINRA Rule 3270, registered representatives must obtain approval from their member firm before engaging in outside business activities. Similarly, FINRA Rule 3280 requires that representatives and associated persons disclose and obtain approval for private securities transactions. These rules provide much needed protection to investors—ensuring that a broker-dealer is in a position to oversee investments. Undisclosed outside activities put investors at risk.
In this case, FINRA alleges that Alexander Jon James failed to disclose outside business activities and private securities transactions to his member firm. Further, he provided false information on the firm’s compliance forms—indicating that no such activities occurred. In reality, FINRA believes that Mr. James facilitated more than $660,000 of investment by customers of Voya Financial Advisors. He was paid at least $16,000 in compensation for doing so.
Sanctions & Penalties
Alexander Jon James has been sanctioned by regulators. On the basis of the conclusions made in the investigation, FINRA took enforcement against the South Florida financial advisor. Though he did not admit to any wrongdoing, former Voya Financial Advisors broker Mr. James consented to FINRA’s penalties, including:
- A one-year suspension from associating with any FINRA firm in any capacity; and
- A $10,000 financial penalty.
Investors who have suffered financial harm as a result of their broker’s private securities transactions or their outside business activities may be entitled to recover compensation for damages. If you suffered losses due to selling away, an experienced Miami, FL investment fraud attorney will protect your rights.
Call Our South Florida Selling Away Attorney for Immediate Help
At Carlson & Associates, P.A., our experienced Miami selling away investment lawyers are sophisticated, results-focused advocates for investors. If you or someone you know suffered losses as a result of a financial advisor’s outside business activities or private trades, we can help. Call us now for a comprehensive, confidential consultation. We represent investors in Miami, Miami-Dade County, and throughout the State of Florida.