National investment fraud lawyers KlaymanToskes encourages aggrieved customers of Caz Craffy (CRD# 5222223) to contact our firm after FINRA (“Financial Industry Regulatory Authority”) permanently barred the broker. The decision comes after Craffy refused to produce investigation-related information and a requested on-the-record testimony following allegations of failure to fully disclose outside business activities and the potential conversion of investors’ funds.
Investors that suffered losses with Caz L. Craffy may be entitled to a financial recovery. Contact Lawrence L. Klayman, Esq. immediately at (888) 997-9956 or lklayman@klaymantoskes.com to discuss your legal options at no cost.
On December 8th, 2022, FINRA’s Department of Enforcement entered into an Acceptance, Waiver, and Consent (“AWC”) with Caz L. Craffy, disclosing that FINRA investigated allegations of Craffy’s potential conversion of investors’ funds, loans or gifts from customers, active trading in investor accounts, and failure to fully disclose certain outside business activities. Craffy consented to sanctions of a permanent bar from associating with any FINRA member in all capacities.
According to the AWC, the regulatory investigation arose from a customer complaint filed with FINRA. On November 10th and November 21st, 2022, FINRA sent Craffy requests for the production of information and documents pursuant to FINRA Rule 8210 and a request for on-the-record testimony. On November 29th, 2022, Craffy’s counsel sent an email in which he declared that Craffy had received and acknowledged FINRA’s requests but would not be complying. By refusing to produce requested information and appear for testimony, Craffy violated FINRA Rules 8210 and 2010.
FINRA (Financial Industry Regulatory Authority) is responsible for regulating all brokers and brokerage firms doing business with the U.S. public. Under FINRA Rule 8210, all brokerage firms and registered financial professionals are required to provide information, documents, and testimony upon regulators’ requests.
A violation of FINRA Rule 8210 is also a violation of FINRA Rule 2010, which requires brokerage firms and their registered representatives to “observe high standards of commercial honor and just and equitable principles of trade.”
In accordance with FINRA Rule 3270, all financial professionals are required to report and receive approval from their brokerage firm before engaging in any business activity outside of his/her relationship with the firm.
On November 11th, 2022, Craffy was terminated from his previous firm, Monmouth Capital Management in Point Pleasant Beach, NJ, following allegations that he failed to disclose an outside business activity. Craffy was also previously registered with Newbridge Securities from 2017 to 2021 in Morristown, NJ.
After Craffy’s termination by Monmouth Capital, his customer’s accounts were transferred to another Monmouth broker, Raymond Clark. Clark’s FINRA Brokercheck report shows he was involved in 3 customer disputes, all settled in favor of investors, as well as two recent tax liens.
According to Caz L. Craffy’s FINRA Brokercheck Report, the following is a list of his known outside business activities:
Craffy allegedly concentrated his client’s accounts in speculative stocks, including the following:
The transactions were allegedly unauthorized and included options and derivative trading.
Victims of Caz Craffy may include active and former members of the U.S. military.
Customers of Caz L. Craffy a/k/a Carz Levinski Craffy that suffered investment losses are encouraged to contact securities attorney Lawrence L. Klayman to learn about recovery options at (888) 997-9956 or lklayman@klaymantoskes.com.
Consultations are free and every case is taken on a contingency basis, meaning we do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
KlaymanToskes is a leading national securities law firm which practices exclusively in the field of securities arbitration on behalf of retail and institutional investors throughout the world in large and complex securities matters. The firm has recovered over $250 million in FINRA arbitrations and over $350 million in other securities litigation matters. KlaymanToskes has office locations in California, Florida, New York, and Puerto Rico.
KlaymanToskes, P.A.
Lawrence L. Klayman, Esq.
888-997-9956
lklayman@klaymantoskes.com
www.klaymantoskes.com