Lawrence Alan Stack, of Morgan Hill, California, a stockbroker formerly registered with Questar Capital Corporation, has been fined $5,000.00 and suspended from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity based on consenting to findings that he participated in unapproved outside business activities. Letter of Acceptance, Waiver and Consent, No. 2015047293501 (Sept. 13, 2017).
According to the AWC, two entities were created by Stack and his business partner for managing real estate properties. Apparently, the companies were formed by Stack’s business partner but all documentation relating to the entity formations was signed by Stack. The AWC also stated that Stack was responsible in those companies for discovering prospective real estate properties to buy.
The AWC revealed that Stack never informed his firm in advance about the companies that he helped create and manage, and only reported prior real estate rental properties that he owned and assumed management duties for. Considering Stack’s failure to provide his firm with the required notification of his outside activities, FINRA found Stack’s conduct to constitute violations of FINRA Rules 2010 and 3270.
Financial Industry Regulatory Authority (FINRA) Public Disclosure reveals that Stack was fired from Questar Capital Corporation on October 9, 2015, based on accusations that he sold away from his firm while pursuing outside business activities.
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