Gregory Walter McCloskey (also known as Gregory Walter Meier) of Newport Beach California a stockbroker formerly registered with Westpark Capital Inc. is the subject of a Financial Industry Regulatory Authority (FINRA) investigation concerning McCloskey’s possible engagement in private securities transactions and his possible obstruction of the regulator’s investigation into accusations of his misconduct. FINRA Case No. 2018059242801 (Feb. 7, 2020).
According to the FINRA Public Disclosure, a preliminary determination was made by the regulator for McCloskey to face disciplinary action based on allegations that he was selling away from his securities broker dealer employer in violation of FINRA Rules 2010 and 3280 as well as National Association of Securities Dealers (NASD) Rules 2110 and 3040. McCloskey potentially failed to be forthcoming to either his securities broker dealer or with FINRA personnel in regard to his activities. The stockbroker may have lied about his activities in his questionnaire and then provided false information to FINRA in violation of Rules 2010 and 8210.
FINRA also recommended that McCloskey be charged with falsifying information in regard to a customer’s account summaries and for resolving a customer’s complaint without the securities broker dealer’s knowledge or consent. McCloskey potentially failed to use authorized communication devices during the time that he corresponded with investors about securities transactions. FINRA also noted that it could have been provided erroneous information from McCloskey in regard to its previous investigation into the stockbroker’s activities.
This would not be the first time that McCloskey has faced disciplinary action by FINRA. He has been fined $5,000.00 and suspended from associating with any FINRA member in any capacity supported by findings that he engaged in undisclosed private securities transactions while associated with Newport Coast Securities. Letter of Acceptance Waiver and Consent No. 2015044037901 (May 1, 2017). According to the AWC, Newport Coast Securities was not made aware of McCloskey’s introduction of customers to a company in which customers invested $50,000.00. FINRA found McCloskey’s conduct violative of Rules 2010 as well as NASD Rules 2110 and 3040.
FINRA Public Disclosure additionally reveals that on April 30, 2018, a customer filed an investment related complaint involving McCloskey’s conduct in which the customer requested $20,000.00 in damages based upon allegations that the customer had been placed into inappropriate private placements and that misrepresentations were made to the customer concerning these investments by McCloskey during the time that he was associated with Westpark Capital and Newport Coast Securities. The complaint also indicated that the customer was overcharged.
McCloskey’s employment with Westpark Capital was terminated on October 7, 2019 founded on accusations of his failure to abide by a heightened supervision arrangement.
