Cynthia Komarek (also known as Cynthia Ann Brown), of Barrington, Illinois, a stockbroker registered with Sagepoint Financial Inc., has been barred from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity because Komarek failed to provide information and documents to FINRA when it investigated Komarek’s referral of customers to an unapproved investment manager. FINRA Enforcement (AWC) No. 2020067641402 (June 4, 2021).
According to the AWC, on August 19, 2020, SagePoint Financial Inc. filed a Uniform Termination Notice for Securities Industry Registration (Form U5) with FINRA, indicating that the firm discharged Komarek after she admitted to issuing referrals to an outside asset manager without obtaining the firm’s approval. FINRA then began an investigation into Komarek due to the allegations contained within the Form U5. In connection with the investigation, FINRA sent Komarek a request on April 13, 2021, for the production of documents and information. Through her counsel, Komarek indicated that she had received FINRA’s request for documents and information but would not produce them. Komarek violated FINRA Rules 2010 and 8210 as a result.
FINRA Public Disclosure shows that Komarek is referenced in customer initiated investment related disputes concerning Komarek’s conduct while associated with securities broker dealers, including Merrill Lynch Pierce Fenner Smith Inc. On February 8, 1999, a customer filed an investment related complaint involving Komarek’s conduct in which the customer requested $140,000.00 in damages based upon allegations that Komarek made omissions with regard to the recommendation and sale of variable annuities when Komarek was associated with Merrill Lynch Pierce Fenner Smith Inc.
On August 13, 2020, a customer filed an investment related FINRA securities arbitration claim involving Komarek’s conduct in which the customer requested $2,400,000.00 in damages based upon allegations that Komarek made unsuitable recommendations concerning the sale of outside investments funds when Komarek was associated with Sagepoint Financial Inc. FINRA Arbitration No. 21-01760.
Komarek is also referenced in a customer initiated investment related FINRA securities arbitration claim that was settled for $625,000.00 in damages based upon allegations that Komarek committed sales practice violations in connection with the recommendation and sale of a certain private placement while Komarek was associated with Sagepoint Financial Inc. FINRA Arbitration No. 20-02863 (Aug. 31, 2020).
Cynthia Komarek was associated with Sagepoint Financial Inc. from November 17, 2017 to August 19, 2020.
