Financial Advisor Bob Korzik, Ameriprise Financial Services in Little Falls, NJ
Robert Korzik Reportedly Suspended and Fined after Allegations of Selling Away
According to public records on the Financial Industry Regulatory Authority (FINRA) website on May 26, 2020, the regulator has reportedly fined and suspended Robert Korzik (Bob Korzik) after he allegedly participated in and solicited Firm customers to invest in private securities transactions without prior written Firm approval.
The findings stated that between September and December 2016, Korzik purportedly personally invested $50,000 in a private securities transaction involving an unnamed energy company, and also allegedly solicited and facilitated the purchase of approximately $550,000 of these securities by firm customers.
Korzik allegedly received an email from a friend and chief executive officer (CEO) of an energy company. The email purportedly indicated that the company was seeking to raise money in a private offering and attached a copy of the company’s investor slide deck, private placement memorandum, and business plan. Korzik purportedly solicited several investors, including high net worth clients of his firm, by forwarding the email and its attachments to them.
According to his broker profile, Korzik was reportedly registered with Ameriprise Financial Services in Little Falls, NJ from 2011 until October 2017 when he was reportedly dismissed after allegations of “company policy violations related to private securities investments.”
His broker profile indicates that the suspension is reportedly for a period of 9 months and he will be required to pay a Civil and Administrative Penalty of $8,500.
He has 1 customer complaint reportedly pending from 2019, according to FINRA.
Investigating Potential Lawsuits
When a FINRA registered representative conducts business outside the scope of the brokerage firm where they are registered, the act can be considered “selling away.”
Some brokers, looking to supplement their income, will go outside the traditional market, trying to find other products to push.
If a registered broker “sells away” from their firm, the brokerage firm may still be liable for negligent supervision of their broker representative and may be responsible for investment losses in a FINRA dispute resolution claim.
If you are concerned about investments with Robert Korzik (Bob Korzik) , please call the securities attorneys at The White Law Group at 888-637-5510 for a free consultation.
The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Franklin, Tennessee.
For more information on The White Law Group, and its representation of investors, please visit www.WhiteSecuritiesLaw.com.