John Henry Swon IV of Bloomington Minnesota a stockbroker formerly registered with Royal Alliance Associates Inc. has been barred from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity supported by findings that he chose not to provide documents and information to FINRA when it investigated him for possibly misappropriating a customer’s funds when he was associated with Royal Alliance Associates. Letter of Acceptance Waiver and Consent No. 2021071153001 (July 6, 2021).
According to the AWC, FINRA received confirmation from Royal Alliance Associates that Swon was terminated by the securities broker dealer on April 16, 2021 based upon allegations of Swon failing to comply with its outside business activity policy. Swon potentially failed to disclose the activity and get Royal Alliance Associates’ approval. The securities broker dealer also noted that a customer complained about Swon allegedly mismanaging or misappropriating their funds.
The AWC stated that Swon was asked by FINRA on May 14, 2021 to provide documents and information to the regulator for an evaluation of the accusations against Swon. The stockbroker informed FINRA on May 27, 2021 that he received its request and would not cooperate with it. Swon violated FINRA Rules 2010 and 8210 as he did not provide FINRA with the requested information and documents.
Swon was an investment adviser representative at Focus Financial between October of 2012 and April of 2021. He was discharged by the firm on April 16, 2021 founded on allegations of him engaging in outside business activities.
FINRA Public Disclosure also confirms that on April 1, 2021, a customer filed an investment related complaint regarding Swon’s conduct where the customer requested $110,000.00 in damages supported by accusations of misappropriation or mismanagement of funds which they provided to Swon when he was associated with Focus Financial and Royal Alliance Associates.
