Former SPC Financial Advisor Clark Harris Separated from Employer After Trading Away Allegations
Clark Harris (CRD#: 2730928) is a dually registered Broker and Investment Advisor at Aurora Securities in Troy, MI. He entered the securities industry in 1996 and previously worked for SPC; Sigma Financial Corporation; Linsco/Private Ledger Corp.; John Hancock Mutual Life Insurance Company; John Hancock Distributors, Inc.; John Hancock Mutual Life Insurance Company; and John Hancock Distributors, Inc.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), in April 2021, Clark Harris was separated from his employer after allegations were raised. The allegation states, “The firm has reason to believe that the registered representative solicited, recommended, and sold illiquid alternative investments to one or more customers without possessing a qualifying FINRA license to do so, and that the representative took steps to conceal this activity from the firm.” Clark Harris was discharged from Sigma Financial Corporation.
In addition, Clark Harris has been the subject of one customer complaint, including the following:
● March 2021—”Investigating whether he received securities compensation for recommending alternative investments for which he was not registered to do so.” The investigation was initiated by FINRA.
● January 2012—”REGISTERED REPRESENTATIVE INITIATED A WITHDRAWAL FROM THE VARIABLE ANNUITY CAUSING THE GUARANTEED MINIMUM WITHDRAWAL BENEFIT RIDER TO DECREASE THEREFORE CAUSING THE CLIENT TO RECEIVE LESS ANNUAL INCOME.” The customer dispute was settled for $69,000.
For a copy of Clark Harris’s FINRA BrokerCheck, click here.
The Financial Industry Regulatory Authority (FINRA) strictly prohibits financial advisors from “selling away” or selling securities and investments to clients that are not offered by the brokerage firm with which they are employed. For example, it is illegal and a violation of industry rules for a financial advisor to recommend or even suggest that a client invest in the financial advisor’s own business or a business operated by his or her friends or family. It is not necessary that the financial advisor earn any compensation for recommending an outside investment.
The purpose behind this prohibition is to ensure that a financial advisor only offers to sell securities that have been vetted by his or her employer brokerage firm through a rigorous due diligence process. Most brokerage firms have an approved list of investments, products, and research that can be provided or made available to clients. Any deviation by the financial advisor from the approved product list may constitute selling away.
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 email@example.com.