- September 7, 2020
- Farmers Financial
Narinder Singh (CRD # 3100308) was a Financial Advisor at Farmers Financial, LLC in Sacramento, CA. Narinder Singh has been in the securities industry since 1998 and previously worked at Proequites, Inc., Transamerica Financial Advisors, Inc., Oneamerica Securities, Inc., and Foresters Equity Services, Inc.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), on August 28, 2020, Narinder Singh was barred by FINRA. According to the FINRA sanction:
“Without admitting or denying the findings, Singh consented to the sanction and to the entry of findings that she refused to provide on-the-record testimony requested by FINRA during the course of an investigation that began after it received a customer statement of claim disclosed in an amended Form U5 filed by her former member firms. The findings stated that the firms’ Form U5 amendments disclosed a pending arbitration filed by the customer alleging that Singh had invested the customer funds into a fraudulent investment. Although Singh initially cooperated with FINRA’s investigation, she ultimately ceased doing so.”
For a copy of the FINRA sanction, click https://www.finra.org/sites/default/files/fda_documents/2019063861501%20Narinder%20Kaur%20Singh%20CRD%203100308%20AWC%20sl.pdf
In addition, Narinder Singh has been the subject of four customer complaint disclosures, alleging sales practice misconduct. Among the complaints allege the following:
• April 2020—”Claimant alleges that the representative solicited her to invest in an investment contract away from the firm.” The matter settled for $45,357.28.
• April 2020—”Claimant alleges that the representative solicited him to invest in an investment contract away from the firm.” The matter settled for $29,642.72.
• December 2019—”CLAIMANT ALLEGES THAT THE REPRESENTATIVE SOLICITED HIM TO INVEST $50,000 IN AN INVESTMENT CONTRACT THAT GUARANTEED HIM 5% INTEREST FOR 6 MONTHS. CLAIMANT ALLEGES HE WROTE CHECK TO A COMPANY CONTROLLED BY THE REPRESENTATIVE.” The matter settled for $7,000.
• September 2019—”Claimants allege Singh induced them to invest $412,500 into an investment contracts with a company Singh controlled (Express Asset and Wealth Management, Inc.). Claimants allege first investment of $300,000 on or about Jan. 30, 2015 and second investment of $112,500 on or about Jan. 9, 2017.” Alleged damages are $1,237,500.00 and the matter remains pending.
For a copy of Narinder Singh’s CRD, click https://brokercheck.finra.org/individual/summary/3100308#disclosuresSection
Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients. To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.
Reasonable basis suitability requires that a recommended investment or investment strategy be suitable or appropriate for at least some investors. Reasonable basis suitability requires an advisor to conduct adequate due diligence so that he or she can determine the risks and rewards of the investment or investment strategy.
Quantitative suitability requires a brokerage firm or financial advisor with actual or de facto control over a customer’s account to have a reasonable basis for believing that a series of recommended transactions – even if suitable when viewed in isolation – is not excessive and unsuitable for the customer when taken together in light of the customer’s investment profile. No single test defines excessive activity, but factors such as the turnover rate, the cost-equity ratio, and the use of in-and-out trading in a customer’s account may provide a basis for a finding that a member or associated person has violated the quantitative suitability obligation.
Customer-specific suitability requires that a member or associated person have a reasonable basis to believe that the recommendation is suitable for a particular customer based on that customer’s investment profile. Among the criteria that a financial advisor must evaluate to satisfy his or her customer-specific suitability obligations include the investor’s:
• Other investments
• Financial situation and needs
• Tax status
• Investment objectives
• Time horizon
• Liquidity needs
• Risk tolerance
• Any other information disclosed by the customer
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 firstname.lastname@example.org.