Albert Harkless III of Oxon Hill, Maryland submitted a Letter of Acceptance, Waiver and Consent (AWC) to the Financial Industry Regulatory Authority (FINRA) in which he was barred for conversion and misrepresentations in violation of FINRA Rules 2150 and 2010.
In July of 1996, Albert Harkless III joined PFS Investments Inc. in which he was licensed as an Investment Company and both a Variable Contracts Products Representative and Principal. According to FINRA findings, a Form U5 was filed in October 2018 communicating the termination of Harkless for participating in the alleged unauthorized transactions and making misrepresentations. The FINRA findings state that Albert Harkless III allegedly solicited a customer to invest $6,100 to secure 406 shares in the firm’s parent company. Without the customer’s agreement or consent, he only purchased 150 shares for Company 1 for $2,980 and transferred the balance of the customer’s funds of $3,120 to his personal account. In addition, Harkless allegedly stated company shares were only obtainable for purchase by employees and there is a five-year sale limitation on purchases of Company 1 shares which is inaccurate.
FINRA Rule 2150 provides that no person associated with a member firm shall make improper use of a customer’s securities or funds. Conversion is the intentional and unauthorized taking of and/or exercise of ownership over property by one who neither owns the property nor is entitled to possess it. FINRA Rule 2010 requires FINRA members and associated persons to observe high standards of commercial honor and just and equitable principles of trade.
Without admitting or denying FINRA’s findings, Albert Harkless III was barred from association with any FINRA member firm.
Stockbrokers have been known to engage in many practices that may violate industry and firm rules, practices, and procedures. In order to protect investors from stockbroker misconduct, FINRA rules require brokerage firms to establish and implement a supervisory system. The implementation of these industry rules requires supervisors to monitor their employees to ensure compliance with federal and state securities laws, securities industry rules and regulations, and the brokerage firm’s own policies and procedures. If broker-dealers and/or their supervisors fail to establish and implement these protective measures, they may be liable to investors for damages which flow from the broker’s misconduct. Therefore, investors who have suffered losses stemming from unauthorized transactions and/or other misrepresentation by their broker can file claims to recover damages against broker-dealers, like PFS Investments Inc., which should consistently oversee its brokers’ activities in order to prevent the above-described misconduct.
Have you suffered losses in your PFS Investments Inc. account due to unauthorized transactions and/or misrepresentations by your broker? Was Albert Harkless III your stockbroker? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against PFS Investments Inc. stockbrokers who may have engaged in broker misconduct and caused investors’ losses.
The most important of investors’ rights is the right to be informed! This Investors’ Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over 40 years, Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities and investment law issues. The lawyers at our law firm are devoted to protecting investors’ rights throughout the United States and internationally! Please visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at email@example.com for answers to any of your questions about this blog post and/or any related matter.