Former National Securities Corp. And Aurora Capital Broker, Kyle Harrington, Barred By FINRA For Converting Client Assets
The Wolper Law Firm is currently investigating claims against Kyle Harrington, a former Financial Adviser at National Securities Corp. and Aurora Capital in San Diego, CA and Bridgehampton, NY, respectively. Kyle Harringon has been in the securities industry since the 1990s and has worked for myriad brokerage firms in NY and CA.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), on November 12, 2018, FINRA barred Kyle Harrington from associating with any brokerage firm after it was alleged that he converted client assets. Specifically, the FINRA order states:
“Respondent Kyle P. Harrington is (1) barred from associating with any FINRA member firm for converting customer funds; (2) barred from associating with any FINRA member firm for failing to disclose private securities transactions and for making false statements and providing false documents to his firm employer; and (3) barred from associating with any FINRA member firm for providing false documents and information to FINRA and for trying to obstruct FINRA’s investigation into his conversion. Harrington is also ordered to pay disgorgement, restitution, and costs.”
For a full copy of the FINRA Order, click http://www.finra.org/sites/default/files/fda_documents/2015047303901%20Kyle%20P.%20Harrington%20CRD%202282328%20and%20Linda%20C.%20Milberger%20CRD%204939206%20Notice%20of%20Extended%20Panel%20Decision%20va%20.pdf
Kyle Harrington has a long history of customer complaints and employment events. Prior to being barred, Kyle Harrington was the subject of ten customer complaints for alleged sales practice violations, including the following:
• January 2017—”COMMON LAW FRAUD, MISREPRESENTATION, UNSUITABILITY, EXCESSIVE TRADING, CHURNING, OVER CONCENTRATION, BREACH OF FIDUCIARY DUTY, BREACH OF CONTRACT, NEGLIGENCE, FORGERY.” The matter was settled for $85,000
• July 2016—”Claimants allege that, from approximately 2005 to 2009, one of Claimants’ registered representative recommended illiquid, speculative, and high-commission investments. One claimant alleges that a different registered representative engaged in excessive trading and unauthorized trades. Claimants allege unsuitability, misrepresentation, churning, and failure to supervise.” The matter was settled for $20,000.
• October 2015—”NEGLIGENT MISREPRESENTATION, BREACH OF FIDUCIARY DUTY.” An arbitration was entered for $105,000.
In addition, National Securities Corp. terminated Kyle Harrington following its investigation into alleged conversion of client funds.
For a full copy of Kyle Harrington’s disclosure report, click https://brokercheck.finra.org/individual/summary/2282328#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.
The Wolper Law Firm is interested in speaking with clients of Kyle Harrington as part of its investigation. We can be reached at 800.931.8452 or by email at email@example.com. 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.