Securities Arbitration Investment Fraud Lawyers » Investment and Regulatory News » Centaurus Financial Stockbroker Sanctioned By FINRA For Selling Away

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Bryon Edwin Martinsen of Kings Park, New York, a stockbroker currently registered with Centaurus Financial Inc., has been fined $10,000 and suspended for 15 months from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity because of Martinsen’s private securities transactions during the time that he was associated with Centaurus Finacnial Inc. Letter of Acceptance, Waiver, and Consent No. 2018059212201 (August 19, 2022).

According to the AWC, between October 2014 and January 2020, Martinsen took part in private securities transactions by arranging the sale of roughly $1,100,000.00 in alternative investments with 57 firm customers through 55 transactions without giving his firm written notice. The transactions were largely real estate investment trusts. Martinsen was involved in these transactions by referring firm customers that were looking to sell their investments to other firm customers looking to buy.

FINRA states that from August 2014 through February 2021, Martinsen issued 15 payments to 38 Centaurus customers. $400,000.00 in total payments were made to compensate customers for their losses concerning investments that Martinsen made in the past. The payments were made from his personal and business bank accounts. Martinsen failed to notify the broker-dealer about the payments. He also falsely denied his activities on his compliance questionnaire. Martinsen violated FINRA Rules 2010, 3280, 2150, and NASD Rule 3040.

FINRA Public Disclosure shows that Martinsen is referenced in eleven customer initiated investment related disputes concerning Martinsen’s activities while associated with securities broker dealers, including Centaurus Financial Inc. On August 18, 2021, a customer initiated investment related FINRA securities arbitration claim involving Martinsen’s conduct was settled for $217,818.19 in damages based upon accusations that Martinsen made unsuitable recommendations with regard to the sale of real estate securities during the time that Martinsen was associated with Centaurus Financial Inc. FINRA Arbitration No. 19-01042.

On November 23, 2021, a different customer initiated investment related FINRA securities arbitration claim involving Martinsen’s activities was settled for $985,000.00 in damages based upon allegations that Martinsen made unsuitable transactions and misrepresentations in connection with the recommendation and sale of direct investments, variable annuities, and real estate securities during the period that Martinsen was associated with Centaurus Financial Inc. FINRA Arbitration No. 20-01137.

On January 18, 2022, another customer initiated investment related FINRA securities arbitration claim involving Martinsen’s conduct was settled for $15,801.50 in damages based upon accusations that Martinsen overconcentrated the customer’s account in illiquid investments, including real estate securities, when Martinsen was associated with Centaurus Financial Inc. FINRA Arbitration No. 21-02934.

Martinsen is also referenced in a customer initiated investment related civil action where the customer sought $3,000,000.00 in damages based upon allegations that Martinsen made unsuitable transactions with regard to the recommendation and sale of real estate securities, direct investments, and variable annuities during the time that Martinsen was associated with Centaurus Financial Inc. Civil Action No. 522708/22 (August 8, 2022).

Martinsen has been associated with Centaurus Financial Inc. as a stockbroker since October 7, 1999. He has been associated with Centaurus Financial Inc. as an investment adviser representative since September 22, 2011.