The US Securities and Exchange Commission is investigating Westlake Village, California stockbroker Thomas Swan (CRD# 1698430) over alleged violations of...Read More
Thomas Oakes: FINRA Bars Former Royal Securities Company Advisor
A disciplinary action taken by the Financial Industry Regulatory Authority against former Grand Rapids, Michigan broker and investment advisor Thomas Oakes (CRD# 1354152) barred him after he failed to appear for testimony related to a FINRA investigation into allegations he recommended unsuitable transactions. A former representative of Royal Securities Company, Oakes 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. 2018058426501) dated February 2019, “FINRA began receiving several customer complaints by customers of Oakes” in April 2018, alleging that he had recommended they make unsuitable securities transactions. FINRA accordingly launched an investigation into the complaints and on January 3, 2019 sent Oakes a request to appear for on-the-record testimony. For reference, FINRA Rule 8210 states in part that FINRA has the right to request testimony from persons under its jurisdiction to provide testimony connected to matters under its investigations. FINRA’s findings state that on January 3, 2019, Oakes indicated that he would not appear for the requested testimony at any time. The findings state that this refusal constituted a violation of FINRA Rule 8210. As a result of the foregoing alleged conduct, Thomas Oakes was barred from association with any FINRA member in any capacity.
Thomas Oakes’ disclosure records also include several customer complaints against him.
A 2018 complaint concerning his conduct as a representative of Royal Securities Company, for instance, alleged that he mismanaged the customers’ accounts, over-concentrating them in unsuitable penny stock positions. The complaint resulted in an award of $70,000.
A 2016 complaint concerning Thomas Oakes’ conduct as a representative of Royal Securities Company alleged that he recommended an unsuitable variable annuity. The complaint reached a settlement of $49,000.
A 2003 complaint concerning his conduct as a representative of Fahnestock & Company alleged he made unauthorized and unsuitable transactions, churned investments, and violated his fiduciary duty. The complaint reached a settlement of $68,000.
A 2001 complaint concerning his conduct as a representative of Fahnestock & Company alleged he churned investments, engaged in unauthorized trading, made misrepresentations, and committed suitability violations. The complaint reached a settlement of $125,000.
Thomas Oakes is not currently registered as a broker or investment advisor. His employment history includes Royal Securities Company in Grand Rapids, Michigan, Kent King Securities, Fahnestock & Company, First of Michigan Corporation, Prescott Ball & Turben, Rodman & Renshaw, and HB Shaine & Company. He currently holds no state licenses and has passed six securities industry qualification examinations.