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Harold Connell: Miami Financial Advisor Barred by FINRA
A disciplinary action taken by the Financial Industry Regulatory Authority against former Miami, Florida financial advisor Harold Connell (CRD# 1482623) barred him over allegations he participated in the sale of unregistered Regulation D offerings “through misrepresentations and omissions.” A former representative of CP Capital Securities, Connell was barred from acting as a broker or otherwise associating with a broker-dealer firm.
According to a Letter of Acceptance, Waiver and Consent (No. 2016051493702) dated June 2018, Harold Connell was registered with CP Capital Securities, which he founded and held 99% ownership of, when between January 2013 and April 2017 he participated in the raising of more than $4.5 million from investors via the sale of three unregistered Regulation D offerings for which the firm was exclusive placement agent. FINRA states that one of the investors in these offerings “recouped any of their principal investments.” The findings describe private placement memoranda for the offerings that stated investors’ funds “would be used to invest in a variety of companies,” which was allegedly a misrepresentation. The first offering, according to FINRA, “was invested 85% in one penny stock company,” while the others were “primarily undisclosed self-offerings” in which investor funds “were transferred to the Firm’s holding company, and from there, to the firm.” According to FINRA, the PPM for the third offering left undisclosed that these two companies ‘were deeply in debt,” nor that “investor funds would be used to pay non-Firm expenses and money owed to prior offering investors.” FINRA’s findings conclude that Connell’s involvement in these activities constituted violations of securities law and FINRA rules. As a result of the foregoing alleged conduct, he was barred from associating with any FINRA member in any capacity.
Harold Connell’s disclosure records also describe one pending customer complaint against him. Filed in 2018, the complaint alleges that promissory note investments in made with CP Capital Securities led to losses; it seeks damages of $1,458,000.
Harold Connell is currently not registered as a broker or investment advisor. His employment history includes CP Capital Securities in Miami, Florida; Centennial Capital Management in Atlanta, Georgia; World Invest Corporation in Deerfield Beach, Florida; Coleman & Company in New York, New York; First Equity Corporation of Florida in Miami, Florida; and Oppenheimer & Company in New York, New York. He currently holds zero state licenses and has passed six securities industry qualification examinations.