National investment loss lawyers KlaymanToskes reports broker/investment advisor Joseph Todd (CRD# 1830390) has been suspended from acting as a broker or associating with a broker-dealer firm by the Financial Industry Regulatory Authority (“FINRA”) due to his failure to comply with a FINRA arbitration award.
According to his FINRA BrokerCheck record, Joseph Michael Todd was registered with Centaurus Financial in Crystal River, FL until his termination from the firm in July 2022, due to allegations of selling away and the receipt of customer funds.
If you suffered investment losses with Joseph Michael Todd at Centaurus Financial Inc., contact attorney Lawrence L. Klayman at (888) 997-9956 or lklayman@klaymantoskes.com to discuss your recovery options. All consultations are free and we do not collect attorney’s fees unless we obtain a financial recovery for you.
In May 2022, Joseph Todd was the subject of a customer complaint which alleged inappropriate dealings related to the sale of an investment outside of Centaurus, as well as numerous substantial sales of illiquid securities which were allegedly misrepresented to the customers as safe.
According to the related FINRA arbitration award, Todd was found liable and was ordered to pay his customer $60,000 in compensatory damages, along with $37,500 in attorneys’ fees pursuant to the Florida Securities Act. On April 25, 2023 Todd was suspended by FINRA for failing to comply with the award.
FINRA arbitration is a dispute resolution forum that provides a recovery option to victims of broker misconduct, fraud and/or securities violations at full-service brokerage firms. Brokerage firms and their registered brokers/investment advisors are obligated to comply with all FINRA arbitration judgements, including awards and settlements.
Under FINRA Rule 9554, “the failure to comply within 21 days of service of the notice will result in a suspension or cancellation of membership or a suspension from associating with any member”. FINRA’s rule applies to any registered broker who fails to comply with the terms of a FINRA arbitration award.
“Selling away” in private securities transactions occurs when a broker or advisor sells an investment to a customer without approval from his/her broker firm, generally with the expectation that they will be paid a “selling compensation”.
When brokers deviate from their firm’s list of approved offerings and choose to offer clients unapproved securities, they are “selling away” from their firm and may be subject to FINRA sanctions. Brokerage firms may also be found liable for their representative’s disclosed and undisclosed activities.
If you suffered investment losses with Joseph Michael Todd and/or any other broker/advisor at Centaurus Financial, you are encouraged to immediately contact KlaymanToskes at (888) 997-9956 for a free consultation to discuss your legal options.
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 more than $250 million for investors in FINRA arbitrations and over $350 million in other securities litigation matters for its clients. 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