Craig Bonn, a broker associated with Harley Capital LLC, is currently facing allegations of sales practice violations from a client. The customer dispute, filed on January 18, 2024, remains pending as of now. While the specifics of the alleged misconduct are not disclosed, the client has claimed damages related to investments in equities, OTC equity listed securities (common & preferred stock), and private placements.
According to FINRA BrokerCheck, Craig Bonn (CRD #2280460) has been registered with Harley Capital LLC (CRD #310046) based in Connecticut since October 22, 2021. The firm is a FINRA-registered broker-dealer; however, Bonn is not registered as an investment advisor.
Haselkorn & Thibaut, a national investment fraud law firm with offices in Florida, New York, North Carolina, Arizona, and Texas, is currently investigating Craig Bonn and Harley Capital LLC concerning these allegations. With over 50 years of combined legal experience and a 98% success rate, Haselkorn & Thibaut has a proven track record of helping investors recover their losses. They offer free consultations to potential clients and operate on a contingency fee basis, meaning there are no fees unless a recovery is secured. Investors can reach out to Haselkorn & Thibaut at 1-888-885-7162.
Investment fraud and bad advice from financial advisors can have devastating consequences for investors. According to a Forbes article, investment fraud has been on the rise in recent years, with scammers taking advantage of advances in technology and the growing popularity of online investing platforms.
Understanding FINRA Rules and Sales Practice Violations
Table of Contents
FINRA, the Financial Industry Regulatory Authority, is responsible for regulating broker-dealers and their associated persons. FINRA Rule 2010 requires brokers to observe high standards of commercial honor and just and equitable principles of trade. This broad rule encompasses various types of misconduct, including sales practice violations.
Sales practice violations can include a wide range of improper activities, such as:
- Misrepresentation or omission of material facts
- Unsuitable investment recommendations
- Unauthorized trading
- Excessive trading (churning)
- Failure to disclose risks associated with investments
When a broker engages in such misconduct, they breach their fiduciary duty to their clients and may be held liable for any resulting damages.
The Significance for Investors
Allegations of sales practice violations are a serious matter for investors. When a broker fails to adhere to FINRA rules and engages in misconduct, it can result in significant financial losses for their clients. Investors rely on their brokers to provide accurate information, suitable recommendations, and to act in their best interests.
Identifying Red Flags and Seeking Recovery
Investors should be aware of potential red flags that may indicate broker misconduct or investment fraud. These warning signs can include:
- Inconsistent or missing account statements
- Unexplained or unauthorized trades
- Significant losses in traditionally low-risk investments
- High-pressure sales tactics
- Promises of guaranteed returns or “too good to be true” opportunities
If an investor suspects they have been a victim of investment fraud or broker misconduct, they should act promptly to protect their rights and recover their losses. One option is to file a FINRA arbitration claim against the broker and their firm.
FINRA Arbitration: A Path to Recovery
FINRA arbitration is a dispute resolution process that allows investors to seek compensation for losses caused by broker misconduct or investment fraud. It is often faster and more cost-effective than traditional litigation.
Investors who have suffered losses due to the alleged misconduct of Craig Bonn or other brokers associated with Harley Capital LLC may be able to recover their damages through FINRA arbitration. Haselkorn & Thibaut can assist investors in navigating this process and fighting for their rights.
In conclusion, the pending customer dispute against Craig Bonn and Harley Capital LLC serves as a reminder of the importance of working with trustworthy and ethical financial professionals. Investors who suspect they have been victims of sales practice violations or other forms of misconduct should not hesitate to seek legal guidance to protect their interests and recover their losses.
