Securities Lawyers Blog
The investment lawyers of Gana Weinstein LLP are investigating a regulatory action brought by the Financial Industry Regulatory Authority (FINRA) against Wayne Schultz (Schultz) (FINRA No. 2015044640601) of Branchburg, New Jersey. According to the FINRA action, Schultz consented to a bar from the securities industry after he failed to provide documents and information requested by FINRA during its investigation concerning certain notes that Schultz had issued to an elderly client. The selling of notes and other investments outside of a brokerage firm constitutes impermissible private securities transactions – a practice known in the industry as “selling away”.
At this time it unclear the nature and scope of Schultz’s outside business activities and private securities transactions. However, according to Schultz’s public records his outside business activities include a law practice. Often times, brokers sell promissory notes and other investments through side businesses as accountants, lawyers, or insurance to clients of those side practices.
Schultz was associated with brokerage firm TFS Securities, Inc. from September 2008 until December 2010. From January 2011 until June 2013 Schultz was registered with Sterne Agee Financial Services, Inc. Finally, from June 2013 until February 2016 Schultz was registered with Adirondack Trading Group LLC.