Financial Advisor John Krohn is not currently registered but was previously registered with Principal Securities, Inc. (1996-2017) in West Des Moines, IA has disclosed three customer disputes according to the Financial Industry Regulatory Authority (FINRA) Brokercheck disclosures on his record. In addition, there are disclosures reflecting a FINRA regulatory matter that resulted in an Acceptance, Waiver & Consent (AWC) related to outside business activity issues, where the facts were neither admitted or denied by Mr. Krohn.
A Financial Advisor Magazine (FA-mag.com) article in 2017 entitled Firm Does What FINRA Won’t: Rates 30 Worst Brokerage Firms, where the Securities Litigation & Consulting Group had performed an analysis finding that only 2.6% of brokers (at firms of more than 200 brokers) have any customer complaints.
Allegations of Investment-Related Misconduct of John Krohn at Principal Securities
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Mr. Krohn’s FINRA Brokercheck reflects allegations that include investment recommendations in a private placement. Financial advisors must be properly supervised by firms like Principal Securities, Inc. Brokerage firms owe a duty to investor clients to properly supervise and monitor their employees. Supervisory responsibilities on the part of the firms are a critical component of the securities regulatory scheme. Firms and supervisors cannot ignore red flags and they have responsibilities to detect and prevent improper activity.
As noted in NASD NTM 03-49, brokerage firm supervisory systems are a basic component of self-regulation within the securities industry. An effective brokerage firm supervisory system plays an essential role in the prevention of sales practice and other abuses and, thus, enhances investor protection and market integrity. It is essential that firms monitor the regulatory histories of their associated persons and establish additional measures to supervise the activities of those associated persons with greater potential of creating customer harm.
Seek Compensation for Your Investment Losses
Principal Securities, Inc. no longer employs Mr. Krohn, but by doing so up until 2017 Principal Securities, Inc. may have put public investors at potential risk of potential improper securities sales practices.
About Haselkorn & Thibaut, P.A.
Haselkorn and Thibaut, P.A. is a nationwide law firm specializing in handling investment fraud and securities arbitration cases. The law firm has offices in Palm Beach, Florida, on Park Avenue in New York, as well as Phoenix, Arizona and Cary, North Carolina. The two founding partners have nearly 45 years of legal experience.
Haselkorn & Thibaut, P.A. has filed numerous (private arbitration) customer disputes with the Financial Industry Regulatory Association (FINRA) for customers who suffered investment losses relating to issues similar to those matters mentioned above. There are typically no depositions involved, and those cases are typically handled on contingency with no recovery, no fee terms.
Experienced attorneys at Haselkorn & Thibaut, P.A. are available for a free consultation as a public service. Call today for more information at 1-800-856-3352 or visit our website and email us from there at www.investmentfraudlawyers.com.
