Douglas Szempruch (CRD# 4159318), previously a stockbroker in Melville, New York, was sanctioned by the Financial Industry Regulatory Authority over...Read More
Thomas Sova: Hornor Townsend & Kent Advisor Suspended by FINRA
A disciplinary action taken by the Financial Industry Regulatory Authority against former Baton Rouge, Louisiana broker and investment advisor Thomas Sova (CRD# 431135) suspended him over allegations he participated in undisclosed and unapproved private securities transactions. A former representative of Hornor Townsend & Kent, Sova was fined $5,000 and suspended for five months.
According to a Letter of Acceptance, Waiver and Consent (No. 2018058498401) dated February 2019, between May 2016 and July 2016, while he was a representative of Hornor Townsend & Kent, Thomas Sova solicited investors to make purchases of Woodbridge Group of Companies promissory notes. FINRA describes Woodbridge as “a purported real estate investment fund.” Sova sold $250,000 in the notes to a total of three investors, according to FINRA, one of whom was a client of Hornor, Townsend & Kent. FINRA’s findings go on to state that Sova received commissions totaling $5,000 connected to these sales. In spite of firm supervisory procedures requiring representatives “to conduct any selling activity through the firm” and to receive firm approval prior to participating in private securities transactions, according to FINRA, he did not notify the firm or receive its approval. FINRA’s findings state that these activities constituted violations of FINRA Rules 3280, which concerns notification before participating in private securities transactions, and 2010, which concerns standards of commercial honor and just and equitable principles of trade. As a result of the foregoing alleged conduct, Thomas Sova was suspended from association with any FINRA member firm n all capacities for five months. He was also ordered to pay a fine of $5,000 and disgorgement of commissions he received in connection with the promissory note sales.
Thomas Sova’s disclosure records also list one customer complaint against him. Filed in 2018, the complaint alleges that as a representative of Hornor Townsend & Kent, he sold the customer an unregistered security. The complaint reached a settlement of $45,000.
Thomas Sova is not currently registered as a broker or investment advisor. His employment history includes Hornor Townsend & Kent in Baton Rouge, Louisiana, 1717 Capital Management Company, Mony Securities Corporation, the Mutual Life Insurance Company of New York, Securities Management & Research, Chubb Securities Corporation, Anchor National Financial Management, Investplans, North Star Equities Company, the Minnesota Mutual Life Insurance Company, and Western Reserve Financial Services Corporation. He currently holds no state licenses and has passed three securities industry qualification examinations.