John Wade Loofbourrow of New York New York the President and Chief Executive Officer of John W. Loofbourrow Associates (JWLA) has been fined $7,500.00 and suspended from associating with any Financial Industry Regulatory Authority (FINRA) member in any principal capacity based upon findings that Loofbourrow neglected to supervise outside business activities. Letter of Acceptance Waiver and Consent No. 2019061086303 (June 11, 2020).
According to the AWC, between December 14, 2014 and April 25, 2019, while Loofbourrow was President and Chief Executive Officer of JWLA, he failed to review outside business activities. The AWC stated that at least two of the individuals throughout that period had provided Loofbourrow with information about their outside investment-related business activities. These individuals appear to be Gerald L. Brodsky and Craig A. Zabala.
The first individual was allegedly Chief Executive Officer of multiple companies which were involved in investments. The AWC stated that the second individual reported to Loofbourrow that he served as the officer of those companies that the first individual reported. These officer duties consisted of effecting securities sales to accredited investors and executing strategic plans.
Loofbourrow never conducted any review of those individuals’ activities to assess whether they posed a problem or whether they should have been classified as private securities transactions. FINRA determined that Loofbourrow’s conduct was violative of FINRA Rules 2010 and 3270.
This is the third time that Loofbourrow has been sanctioned by a securities regulator. He has been fined by National Association of Securities Dealers (NASD) based upon violating NASD Rules pertaining to his securities business at John W. Loofbourrow Associates.
Since November 30, 1983, Loofbourrow has also been a stockbroker registered with Demopolis Capital Inc.