Joshua Nathan Helmle of Monterey Park, California, a stockbroker and Chief Compliance Officer of Integrity Brokerage Services Inc., is the subject of a customer initiated investment related Financial Industry Regulatory Authority (FINRA) securities arbitration claim in which the customer requested $489,862.00 in damages based upon allegations that Helmle failed to supervise the customer relating to the recommendation and sale of investments to certain customers. FINRA Arbitration No. 21-01782 (Dec. 14, 2021).
The claim apparently relates to the failure to supervise a former Integrity registered representative, Jan Earl Haynes. Haynes was barred by FINRA in October 2021, and was the subject of more than a dozen investment related complaints or arbitration proceedings alleging fraud and the coversion or misappropriation of customer funds.
This is not the first time that Helmle has been referenced in a customer initiated investment related dispute concerning Helmle’s conduct in the securities industry. FINRA Public Disclosure shows that Helmle is also referenced in a customer initiated investment related civil action that was settled for $22,500.00 in damages based upon allegations that Helmle committed sales practice violations in connection with the recommendation and sale of over-the-counter equities when Helmle was associated with Integrity Brokerage Services Inc. Civil Action No. CV-10-33 (Aug. 2, 2012).
FINRA Public Disclosure also shows that Helmle has been fined $10,753.33 and barred from associating with any FINRA member in any capacity based upon allegations that Helmle permitted an unlicensed individual to engage in securities business. FINRA Enforcement (AWC) No. 2018056436001 (Sept. 9, 2021).
According to the Decision, from February 2016 through April 2020, during the time that he was associated with Integrity Brokerage Services Inc., Helmle improperly permitted a person subject to statutory disqualification to associate with the firm and allowed that person to act as an unregistered representative. Specifically, Helmle was informed by FINRA in December 2015 that the broker Helmle was trying to register was ineligible due to a statutory disqualification. Helmle then submitted a Membership Continuance Application asking permission to allow the broker to associate with the firm as a general securities representative.
FINRA denied the application, in part, because the broker Helmle was already improperly allowing the broker to associate with the firm while the application was pending. Despite the warnings from FINRA, it was found that Helmle attempted to evade the prohibition against allowing the broker to associate with the firm. Specifically, Helmle disguised the broker’s role, but in reality, the broker was continuing to associate with the firm, and firm customers believed that the broker was their registered representative. Helmle violated FINRA Rules 2010 and 1210 as a result.
Joshua Helmle was associated with Integrity Brokerage LLC from February 19, 2002 to December 17, 2020.
