- May 31, 2023
- Aegis Capital Corp
Surage Roshan Perera (CRD#: 4716321) is a previously registered Broker.
He entered the securities industry in 2003 and previously worked for Aegis Capital Corp.; Maxim Group, LLC; Stockkings Capital, LLC; Caldwell International Securities; Global Arena Capital Corp.; Prestige Financial Center, Inc.; Sloan Securities Corp.; Aura Financial Services, Inc.; Andrew Garrett, Inc.; LH Ross & Company, Inc.; and Continental Broker-Dealer Corp.
Current And Past Allegations Of Conduct Leading To Investment Loss
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), in March 2023, the United States Securities & Exchange Commission (SEC) initiated a civil action against Surage Roshan Perera, which remains pending. The SEC allegation states, “The Securities and Exchange Commission (the “Commission”), for its Complaint against Defendants Surage Kamal Roshan Perera (“Perera”) and Janues Capital Incorporated (“Janues”) (collectively, “Defendants”), and Relief Defendant Nishani Alahakoon (“Alahakoon”), alleges that Perera, a former broker, through his firm Janues, defrauded at least one investor out of millions of dollars by lying about investment opportunities and strategies; misappropriating the investor’s money by, in part, not purchasing the securities she subscribed to through Janues and using a substantial portion of her money to engage in high volume, highly leveraged trading in other securities; lying to her about non-existent investment profits; and concealing large trading losses. Perera falsely told the investor that Janues had access to specific restricted securities at discounted prices through connections with large institutions. He also claimed to exercise a trading strategy-which he called “options straddles”-that would not only prevent any trading losses but also, for some of the supposed investments, guarantee returns on the investment of at least nine percent and up to as much as 50 percent. Perera’s false promises convinced the investor to give him approximately $4.3 million. Perera did not use the investor’s funds to purchase the securities she had subscribed to, and did not engage in the promised “options straddles” to prevent trading losses and generate the profits he had guaranteed. Instead, he transferred at least $3.5 million of the investor’s funds to a brokerage account in the name of his wife, Alahakoon, and used those funds to engage in highly speculative, leveraged trading. In total, Perera’s trading in securities transactions in his wife’s brokerage account resulted in over $3 million in trading losses. Perera concealed his misappropriation of the investor’s funds and his trading losses by providing the investor with phony trade confirmations and account statements that falsely showed the expected returns, and by using funds received from other sources to partially repay the investor victim. By virtue of the foregoing conduct and as alleged further herein, Perera and Janues have violated Section 17(a) of the Securities Act of 1933 (“Securities Act”), Section 10(b) of the Securities Exchange Act of 1934 (“Exchange Act”), and Rule 10b-5 thereunder, and Sections 206(1) and 206(2) of the Investment Advisers Act of 1940 (“Advisers Act”) and Perera aided and abetted Janues’ violations of Section 17(a) of the Securities Act, Section 10(b) of the Exchange Act, and Rule 10b-5 thereunder, and Sections 206(1) and 206(2) of the Advisers Act.”
In addition, Surage Roshan Perera has been the subject of one customer complaint, including the following:
- February 2009 — “UNAUTHORIZED PURCHASE OF 750 SHARES OF (MT: NYSE) OCCURRED ON 08/25/2008.” The customer dispute was settled for $12,000.
For a copy of Surage Roshan Perera’s FINRA BrokerCheck, click here.
We Help Investors Recover Investment Losses
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 age, tax status, time horizon, liquidity needs, and risk tolerance; a client’s other investments, financial situation and needs, investment objectives, and any other information disclosed by the customer should also be considered.
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