According to SEC documents, Arthur Lin, a former LPL Financial registered representative has been accused of selling “…$5,360,000 in unregistered promissory notes issued by Malarz Equity Investments, LLC to at least 20 investors, including 15 LPL customers.” Investors who have suffered losses as a result of working with Mr. Arthur Lin while he was registered with Financial Industry Regulatory Authority (FINRA) member firm LPL Financial may be able to recover their investment losses through the FINRA dispute resolution process.
On January 25th of this year, according to the SEC, “…a final judgment was entered by consent against Lin, permanently enjoining him from future violations…” of federal securities law. The SEC documents show that in addition to allegedly selling the unregistered promissory notes to some of LPL Financial’s clients between September 2006 and December 2008, their “complaint further alleges that Lin knowingly or recklessly made material misrepresentations or omitted to state material facts to investors regarding the risks of the investments and the use of investor funds.”
The White Law Group is currently investigating the potential for clients of Arthur Lin to recover a portion of their losses in claims related to LPL Financial and Mr. Lin through the FINRA arbitration process. The firm is dedicated to assisting damaged investors recover their investment losses through the FINRA dispute resolution process.
This situation seems to fit a common pattern that is a concern to investors, regulators and brokerage firms alike, “selling away.” When a FINRA registered representative conducts business outside of the firm with whom he is registered, that activity may be considered “selling away.” If a registered broker “sells away” from his firm, the firm may still be liable for negligent supervision of their broker representative and may be responsible for investment losses in a FINRA claim.
If you have suffered losses due to your investment with Mr. Arthur Lin and would like to speak to a securities attorney about your potential to recover those investment losses please call our Chicago office at 312-238-9650.
The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Boca Raton, Florida.
For more information on The White Law Group, please visit our website at https://www.whitesecuritieslaw.com.