Financial Advisor Jason Goodhue issued an Order to Cease and Desist

• March 21, 2025
• Capital Securities Management

Jason A. Goodhue (CRD# 5121680) is a registered broker with Capitol Securities Management, Inc., in Glastonbury, CT.

 

Broker’s History

He entered the securities industry in 2006 and recently worked with Buell Securities Corp.

 

Allegations of Misconduct

According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), on December 18, 2024, the Banking Commissioner issued an Order to Cease and Desist, Notice of Intent to Fine and Notice of Right to Hearing (No. CF-24-8398-S) against Jason A. Goodhue, a Connecticut registered broker-dealer agent. The action alleged that, while employed by his previous broker-dealer, Buell Securities Inc., Goodhue effected securities transactions electronically with a purported client of the firm without speaking with the client directly. Approximately $73,000 in client funds were affected.

 

The action also alleged that Goodhue exercised discretionary trading authority in the client’s account without the client’s authorization. Ultimately, following the client’s discovery of the $73,000 missing from his account, it was ascertained that the electronic communications were fraudulent and sent from the client’s e-mail account. Some of the client’s transferred funds were recovered, and Buell Securities Inc. replaced the balance of the transferred funds. The affected client did not suffer any losses as a result. Goodhue was charged the difference between the sale price of the shares that were sold and the higher cost of replacing the shares. The action alleged that Goodhue violated Section 36b-4(b) of the Connecticut Uniform Securities Act by engaging in dishonest or unethical practices and that he violated Section 36b-31-15b(a)(8) of the Regulations under the Act by exercising discretionary power in effecting transactions for a customer’s account without obtaining written discretionary authority.

 

For a copy of Jason Goodhue’s FINRA BrokerCheck, click here.

 

We Help Investors Recover Investment Losses

FINRA Rule 2150 specifically addresses theft and conversion in a customer account, stating “no member or person associated with a member shall make improper use of a customer’s securities or funds.”  This rule includes any “guarantee” that brokers make to customers in relation to losses incurred in a brokerage account.

 

In addition, FINRA Rule 3240 strictly prohibits a financial advisor from borrowing money from a client absent from unique circumstances, such as a familial relationship between the Financial Advisor and the client.  There is also an exception if the client is a financial institution regularly engaged in the business of lending.  The reason for this prohibition is clear—borrowing money from clients creates an immediate conflict of interest and can potentially lead to theft or conversion of client assets.

 

The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at (800) 931-8452 or by email at mwolper@wolperlawfirm.com.