National investment loss lawyers KlaymanToskes is investigating broker Gary Arnold (CRD# 852859) of Investment Network, Inc.
According to FINRA BrokerCheck, Gary Arnold has been suspended from acting as a broker by the Financial Industry Regulatory Authority (“FINRA”) in connection with FINRA’s findings that he and his firm, Investment Network, Inc. failed to establish, maintain, and enforce a supervisory system, including Written Supervisory Procedures (“WSPs”), reasonably designed to achieve compliance with Reg BI and FINRA rules relating to the sale of private placements and identifying and addressing potentially excessive trading.
Investors that suffered losses with broker Gary Arnold are encouraged to contact attorney Lawrence L. Klayman, Esq., at 888-997-9956 or by email at investigations@klaymantoskes.com to discuss potential recovery options. We do not collect attorney’s fees unless we are able to obtain a financial recovery for you.
Financial advisor Gary Arnold, of Investment Network, Inc., has been suspended from acting as a broker by the Financial Industry Regulatory Authority (“FINRA”). FINRA’s findings disclosed that Investment Network, Inc. engaged in various types of misconduct in connection with recommendations and sales to retail customers of private placement offerings of pre-initial public offering (pre-IPO) funds that took place between October 2020 and May 2021. Further, FINRA’s findings stated that Arnold failed to update the firm’s WSPs to include any written policies and procedures regarding private placements and as a result, did not designate a supervisor with responsibility for supervising private placement offerings.
FINRA found that Investment Network, Inc. engaged in a deceptive course of business by misrepresenting to investors that it would receive only a ten percent sales commission from its sale of certain investment offerings when, in fact, the firm had an agreement with the offerings’ issuer to receive an additional five percent in selling compensation as well as half of any carried interest. Investment Network, Inc. reportedly never disclosed this agreement or the additional compensation it would receive to investors. Additionally, FINRA found that the brokerage firm lacked a reasonable basis to believe that the investment offerings were in the best interests of at least some retail customers.
As an investor, there are a few signs that you should look out for if you believe you may have a claim against your financial advisor. These signs could potentially indicate misconduct, negligence, or investment fraud. Investors are encouraged to contact our firm immediately if you have experienced any of the following:
Some investors have close relationships with their brokers due to the time and trust built over the course of their investment relationship. However, it is crucial to remember that financial decisions should be based on careful analysis and due diligence rather than solely relying on personal relationships.
Engaging the services of an experienced securities attorney to evaluate your specific circumstances is strongly advised. At KlaymanToskes, our team of experienced securities attorneys has a deep understanding of this complex area of law, allowing us to provide invaluable insight and tailored guidance that directly addresses your individual needs.
If you suffered losses with broker Gary Arnold, or have concerns regarding your investment portfolio at Investment Network, Inc., or with any other financial advisor or firm, contact KlaymanToskes at 888-997-9956 or fill out a short contact form for a free and confidential consultation.