Jerry Raines: FINRA Bars Kilgore, Texas Broker
A disciplinary action taken by the Financial Industry Regulatory Authority against former Kilgore, Texas broker Jerry Raines (CRD# 4578689) barred him after finding he failed to provide documents and information connected with its review of allegations he sold promissory notes relating to an unregistered offering, the Woodbridge Group of Companies. A former representative of HD Vest Investment Services, Raines 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. 2018057494202) dated September 2018, FINRA sent Jerry Raines a request on July 11, 2018 for documents and information connected to its examination of his engagement in the sales of Woodbridge Group of Companies notes. FINRA describes Woodbridge as “a group of unregistered companies.” The request sought a response by July 25, 2018, and FINRA states that Raines requested an extension until August 2, 2018. Instead of providing the requested documents and information by that date, however, he indicated to FINRA through counsel that he would not respond to the request. FINRA’s findings state that his refusal constituted violations of FINRA Rules 8210 and 2010. As a result of the foregoing alleged conduct, he was barred from association with any FINRA member in any capacity.
Jerry Raines’ disclosure records also list fourteen settled or pending customer complaints against him.
A 2018 complaint, for instance, alleged that as a representative of Signal Securities, he made unsuitable recommendations and misrepresentations connected to sales of Woodbridge Mortgage Investment Funds. The complaint reached a settlement of $170,000.
Another 2018 complaint alleged that as a representative of HD Vest Investment Services, he misrepresented an investment in Woodbridge Mortgage Investment Fund and did not conduct adequate due diligence on the security, which was unregistered. The complaint reached a settlement of $155,913.
A pending 2019 complaint alleges that as a representative of Signal Securities, he misrepresented and unsuitably recommended Woodbridge Mortgage Investment Funds 1 and 2. The complaint alleges damages of $1.3 million.
Another pending 2019 complaint alleges that as a representative of HD Vest Investment Services, he misrepresented the risks of unsuitable investments in the Woodbridge Group of Companies. The complaint alleges damages of $950,000.
A third pending 2019 complaint alleges that as a representative of HD Vest Investment Services, he misrepresented material facts related to unsuitable Woodbridge Group of Companies investments. The complaint alleges damages of $2.25 million.
Jerry Raines is currently not registered as a broker or investment advisor. His employment history includes HD Vest Investment Services, Signal Securities, and Woodmen Financial Services, all in Kilgore, Texas. He currently holds zero state licenses and has passed three securities industry qualification examinations.