Randy Birkinbine, a broker and investment advisor associated with Ausdal Financial Partners, Inc., is facing serious allegations of violating common law, negligent supervision, breach of fiduciary duty, and violations of the Minnesota Uniform Securities Act. The allegations, which are currently pending, involve investments made in Bakkan Drilling Fund III, Bakkan Income Fund, and GWG L Bonds between 2012 and 2018.
The seriousness of these allegations cannot be understated, as they may have significant consequences for investors who trusted Birkinbine and Ausdal Financial Partners, Inc. with their hard-earned money. If proven true, the alleged misconduct could result in substantial financial losses for affected investors, as well as a loss of trust in the financial industry as a whole. According to a Bloomberg report, investment fraud targeting elderly Americans has risen sharply in recent years, with an estimated $1.7 billion in reported losses in 2021 alone.
Haselkorn & Thibaut, a national investment fraud law firm with offices in Florida, New York, North Carolina, Arizona, and Texas, is currently investigating Randy Birkinbine and Ausdal Financial Partners, Inc. The firm, with over 50 years of combined experience and a 98% success rate, is offering free consultations to clients who may have been affected by the alleged misconduct. Investors can contact Haselkorn & Thibaut at their toll-free number, 1-888-885-7162 , for a confidential consultation.
Understanding FINRA rules and their importance
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The Financial Industry Regulatory Authority (FINRA) is a self-regulatory organization that oversees the activities of broker-dealers and their registered representatives. FINRA rules are designed to protect investors and maintain the integrity of the financial markets. In this case, the alleged violations may be related to FINRA Rule 2111, which requires brokers to have a reasonable basis for believing that a recommended transaction or investment strategy is suitable for the customer, based on the customer’s investment profile.
Suitability is a crucial aspect of the broker-client relationship, as it ensures that the investments recommended by a broker align with the client’s financial goals, risk tolerance, and overall investment objectives. When a broker fails to adhere to this rule, it can lead to significant financial harm for the investor.
The impact on investors
The allegations against Randy Birkinbine and Ausdal Financial Partners, Inc. serve as a stark reminder of the importance of due diligence when selecting a financial advisor. Investors must be vigilant in monitoring their investments and the actions of their advisors, as even seemingly trustworthy professionals can engage in misconduct.
If the allegations are substantiated, affected investors may face significant financial losses, which can have far-reaching consequences for their personal and professional lives. These losses can jeopardize retirement plans, college savings, and overall financial stability.
Red flags and recovering losses
Investors should be aware of potential red flags that may indicate financial advisor malpractice, such as:
- Unexplained or inconsistent investment performance
- Lack of transparency or communication from the advisor
- Unauthorized trades or excessive trading activity
- Pressure to invest in high-risk or unsuitable products
If an investor suspects that they have been a victim of financial advisor misconduct, they should consider pursuing recovery through FINRA Arbitration. This process allows investors to seek compensation for their losses in a more efficient and cost-effective manner compared to traditional litigation.
Haselkorn & Thibaut has extensive experience representing investors in FINRA Arbitration cases and has a proven track record of success, with an impressive 98% success rate. The firm operates on a “No Recovery, No Fee” basis, meaning that clients only pay if a recovery is obtained on their behalf.
As the investigation into Randy Birkinbine and Ausdal Financial Partners, Inc. unfolds, it is crucial for affected investors to seek the guidance of experienced legal professionals who can help them navigate this challenging situation and work towards recovering their losses.
