Securities Lawyers Blog
Previously financial advisor Howard Kavinsky (Kavinsky), previously employed by brokerage firm Supreme Alliance LLC has been subject to at least 2 disclosable events. These events include one customer complaint, one tax lien. According to a BrokerCheck reports most of the recent customer complaints concern either corporate debt securities or alternative investments such as direct participation products (DPPs) like business development companies (BDCs), non-traded real estate investment trusts (REITs), oil & gas programs, annuities, and private placements. The attorneys at Gana Weinstein LLP have represented hundreds of investors who suffered losses caused by these types of high risk, low reward products.
FINRA BrokerCheck shows a final customer complaint on December 20, 2024.
Without admitting or denying the findings, Kavinsky consented to the sanction and to the entry of findings that he falsified at least 190 consolidated account statements for at least eight customers, some of whom were seniors, by overstating the customers’ account balances and reflecting fictitious investments in a hedge fund. The findings stated that Kavinsky also falsified the consolidated account statements for at least six of these customers to reflect that he had invested a portion of their funds in a hedge fund, even though he had not made any such investments. The findings also stated that Kavinsky provided false and misleading information and testified falsely to FINRA. In a request sent to Kavinsky, FINRA requested that he identify all customers for whom he had ever misrepresented account values on any document. Kavinsky responded falsely by naming only a married couple who had already complained about Kavinsky to the firm. At the time that Kavinsky made this response, he knew it was false and that he had actually overstated the account values for at least eight customers on their consolidated account statements. Moreover, during on-the-record testimony that FINRA conducted, Kavinsky repeatedly testified falsely that he never told any of his customers that they were invested in any hedge funds.
