Michael J. Haffling of Orland Park, Illinois, a stockbroker formerly registered with Kalos Capital Inc., is identified in a customer initiated investment related FINRA securities arbitration claim that was resolved for $13,803.26 in damages because of the alleged recommendation and sale of illiquid, risky alternative investments for the customer’s individual retirement accounts at Kalos Capital. Financial Industry Regulatory Authority (FINRA) Arbitration No. 21-01775 (April 11, 2022).
FINRA Public Disclosure shows that Haffling has been identified in five additional customer initiated investment related disputes concerning his conduct during the time that he was registered with Kalos Capital. On January 18, 2021, a FINRA securities arbitration claim involving Haffling’s activities was settled for $27,674.00 in damages because Haffling allegedly failed to perform due diligence prior to recommending the purchase of a direct investment. FINRA Arbitration No. 20-01096. The claim alleges excessive commissions on the broker’s alternative investment sale.
Haffling is also the subject of a customer initiated investment related written complaint which was resolved for $55,000.00 on July 13, 2020, based upon allegations that Haffling failed to review disclosures and representations by the issuer before Haffling recommended transactions. The complaint also alleges failure to conduct due diligence concerning the alternative investment.
On January 18, 2021, a FINRA securities arbitration claim regarding Haffling’s activities was settled for $18,331.00 in damages because Haffling and Kalos Capital allegedly failed to review the alternative investments, including the private placement issuer’s disclosures and representations, before recommending the securities transaction to the customer. FINRA Arbitration No. 20-03716.
Haffling is also referenced in a customer initiated investment related FINRA securities arbitration claim which was resolved for $75,000.00 in damages based upon accusations that Haffling recommended unsuitable alternative investments, including real estate securities, direct participation program interests, and limited partnership interests, while he was registered with Kalos Capital. FINRA Arbitration No. 21-00768 (February 1, 2022). According to the claim, the customer’s account was overconcentrated in alternative investments.
On April 11, 2022, another FINRA securities arbitration claim concerning Haffling’s conduct was settled for $15,750.31 in damages based upon alleged negligence, fraud, breach of fiduciary duty, and violation of securities laws in connection with a real estate security purchase through Kalos Capital. FINRA Arbitration No. 21-01526.
Since December 19, 2013, Haffling has been associated with Kalos Capital Inc. as a stockbroker and Kalos Management as an investment adviser representative.
