Finra has suspended and fined a financial advisor who allegedly recommended an unapproved private investment, the industry’s self-regulator says.
Brian Lockett joined the financial services industry in 2002 and registered with Geneos Wealth Management in 2004, according to a letter of acceptance, waiver and consent published by the regulator.
He was voluntarily terminated from the firm in November 2013, the same month joining a firm Finra doesn’t name in the letter of acceptance.
Lockett has been registered with Independent Financial Group since 2013, according to his BrokerCheck profile.
In July 2016, Geneos filed a Form U5 amendment stating that it had received a complaint from one of its clients and subsequently reached a settlement over allegations that Lockett had recommended an "unapproved private investment in 2012,” Finra says.
The regulator alleges one of Lockett’s clients invested $50,000 in a private placement offering in July 2012. Lockett allegedly didn’t receive compensation for his role, which included introducing the investment, explaining why he liked it and helping the client with the paperwork for the transaction, according to the letter of acceptance. But Lockett also allegedly didn’t provide Geneos with a written notice prior to the deal and then tried to conceal his role from the firm by telling the client to communicate with him about the transaction using Lockett’s personal email address, Finra says.
Lockett agreed to a 45-day suspension and to pay a $5,000 fine without admitting or denying the regulator’s findings, according to the letter of acceptance.
Lockett has nine customer complaints on his record dating back to 2012, ranging from allegations of negligent management of accounts to unsuitable recommendations of investment in oil and gas and a penny stock. All of the complaints have been settled, according to BrokerCheck.