Securities Lawyers Blog
According to BrokerCheck records kept by The Financial Industry Regulatory Authority (FINRA) advisor Brian Royster (Royster), formerly associated with HD Vest Investment Services (HD Vest), in November 2017, was barred from the financial industry by FINRA concerning allegations that he borrowed funds from clients. FINRA found that Royster consented to the sanction and findings that he refused to comply with a FINRA request for documents related to its investigation into the circumstances surrounding his termination from HD Vest. FINRA found that HD Vest filed a Form U5 terminating Royster’s registration and stating that he had violated its policy regarding borrowing money from clients.
In addition to the bar Royster has been subject to two customer complaints concerning his variable annuity sales practices.
At this time it is unclear the extent and scope of Royster’s securities violations and outside business activites. The firm’s allegations concern borrowing of funds could be considered a private securities transaction – a practice known in the industry as “selling away”.