Thomas Cameron Oakes of Grand Rapids Michigan a stockbroker associated with Royal Securities Company has been suspended by Financial Industry Regulatory Authority (FINRA) from associating with any member in any capacity supported by allegations of Oakes’ failure to confirm with the regulator whether he complied with a customer initiated investment related arbitration award. FINRA Case No. 18-02945 (Sept. 5, 2019).
This is not the first time that Oakes has been the subject of a FINRA enforcement action based upon accusations of the stockbroker’s misconduct in the securities industry. Oakes has already been barred from associating with any FINRA member in any capacity based upon findings that he failed to cooperate with investigators during the time that it was reviewing customer complaints and determining if Oakes provided bad investment advice while registered with Royal Securities Company. Letter of Acceptance Waiver and Consent No. 2018058426501 (Feb. 19, 2019).
According to the AWC, FINRA received word of multiple complaints from customers who alleged that Oakes’ investment advice was unsuitable. The AWC stated that Oakes violated FINRA Rules 2010 and 8210 through failing to testify in response to those allegations.
Oakes was previously fined $10,000.00 and suspended by FINRA based upon allegations that penny stocks were traded by the stockbroker on an unsuitable short-term basis causing customers of Royal Securities Company to experience substantial losses. Letter of Acceptance Waiver and Consent No. 2011025857802 (Nov. 26, 2013). Oakes’ conduct was violative of National Association of Securities Dealers (NASD) Rules 2310 and 3110.
FINRA Public Disclosure confirms that Oakes has been identified in eleven customer initiated investment related disputes concerning accusations of his misconduct during the time that he was employed by securities broker dealers including Fahnestock Co. Inc. and Royal Securities Company.
A customer initiated investment related complaint involving Oakes’ conduct was settled for $68,000.00 in damages based upon allegations that the customer’s account had been churned and that trades were effected in the customer’s Fahnestock account on an unsuitable and unauthorized basis.
On July 31, 2016, a customer initiated investment related complaint concerning Oakes’ activities was resolved for $49,000.00 in damages founded on accusations of an unsuitable annuity being sold to the customer when Oakes was employed by Royal Securities Company.
On June 27, 2019, a customer initiated investment related arbitration claim pertaining to Oakes’ conduct resulted in the customer being awarded $70,000.00 in compensatory damages supported by Oakes and Royal Securities Company being found liable for the customer’s losses. FINRA Arbitration No. 18-02945. According to the claim, the customer’s investment portfolio had been largely concentrated in penny stocks which ran contrary to the customer’s objectives. The claim also alleged that Royal Securities Company neglected to supervise Oakes who mismanaged the customer’s account and caused the customer’s losses.
Oakes was registered with Royal Securities Company between January 27, 2014 and August 2, 2017.
