Dinosaur Financial Group, L.L.C (“Dinosaur Financial Group”) (CRD#104446) has many different complaints filed by FINRA (Financial Industry Regulatory Authority), state regulatory organizations, and investors such as yourself. At the Law Offices of Robert Wayne Pearce, we have investigated Dinosaur Financial Group and its regulatory and customer complaints, and we have also represented investors with claims of fraud, negligence, and breach of fiduciary duty against organizations such as Dinosaur Financial Group.
If you believe you have a claim against Dinosaur Financial Group, you should strongly consider hiring an investment fraud lawyer. You should not wait until it’s too late to file a claim. The Law Offices of Robert Wayne Pearce, P.A., offers free consultations. Give us a call at 800-732-2889. Let’s discuss your case and see what we can do to help you get the compensation you need and deserve.
Can I Sue Dinosaur Financial Group?
If you’ve lost money caused by Dinosaur Financial Group and/or its employees’ misconduct then the answer is, YES, you can sue Dinosaur Financial Group, but the odds are you signed away your right to sue in court and agreed to resolve your dispute in a FINRA arbitration proceeding. Attorney Robert Wayne Pearce has over 40 years of personal experience in FINRA arbitration proceedings and knows very well how you can not only sue Dinosaur Financial Group in FINRA arbitration proceedings but WIN that arbitration. The easiest way to know if you have a viable case against Dinosaur Financial Group is to call Attorney Pearce at our office at 800-732-2889.
Investment Losses? We Can Help
Discuss your legal options with an attorney at The Law Offices of Robert Wayne Pearce, P.A.
or, give us a ring at (800) 732-2889.
What is Dinosaur Financial Group?
Dinosaur Financial Group (CRD#104446) is a registered broker-dealer. It operates as a full-service independent broker-dealer, providing a range of financial products and services to individual investors and financial advisors.
As a registered broker-dealer, Dinosaur Financial Group is subject to regulations and oversight by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA). It is required to comply with industry standards and regulations to ensure the protection of its clients’ interests.
A failure to comply with industry standards by either its brokers or the firm itself can result in disciplinary actions, fines, or other penalties imposed by regulatory authorities.
Dinosaur Financial Group Has Many Different Regulatory Problems
Dinosaur Financial Group’s rapid growth has not been without consequences. There have been approximately 5 state and self-regulatory body disclosure events; that is, final and formal proceedings initiated by a regulatory authority (e.g., a state or federal securities agency like the U.S. Securities and Exchange Commission (SEC) or self-regulatory body like the Financial Industry Regulatory Authority (FINRA) and the North American Securities Administrators Association (NASAA) for a violation(s) of investment-related rules or regulations. In addition, there have been customer complaints filed against Dinosaur Financial Groupfor misconduct by its securities sales and investment advisory representatives that are not reported by the firm on its Central Depository Record.
We have reported and written about these regulatory problems and customer complaints over many years. Dinosaur Financial Group is a repeat offender: there are over 5 FINRA-reported proceedings citing the firm with one form of supervisory lapses or another.
A Brief Overview of Some of the Regulatory Problems Dinosaur Financial Group Has Faced Over the Years*
Dinosaur Financial Group has been repeatedly censured, warned, and fined for its own misconduct and failure to supervise its army of financial advisors. * A few of the notable FINRA Sanctions for its Supervisory Failures are below:
FINRA Censured and Fines Dinosaur Financial Group for Failure to Report Municipal Securities Transactions
Brief Overview: Without admitting or denying the findings, Dinosaur Financial Group consented to the sanctions and to the entry of FINRA findings that it failed to report, timely report, and/or correctly report trace-eligible securities transactions. FINRA stated that the firm failed to timely report municipal securities transactions to the MSRB real-time reporting system. FINRA also stated that the firm failed to establish, maintain, and enforce a reasonably designed supervisory system to ensure accurate reporting of trace-eligible and municipal securities transactions that complied with trade reporting rules in violations of MSRB rules. As a result, Dinosaur Financial Group was censured and fined $200,000.
FINRA Fines Dinosaur Financial for Failing to Report Capacity in which it Transacted Orders
Brief Overview: Without admitting or denying the findings, Dinosaur Financial Group consented to the described sanctions and to the entry of findings that the firm acted in a principal capacity for all transactions in corporate bonds, agency debt, and securitized products; however, the firm’s memoranda of the orders did not indicate the capacity in which the firm acted in the transaction. During FINRA’s review of transactions in trace-eligible securities, the firm incorrectly reported the time the trade was executed and incorrectly reported the buy/sell indicator. According to FINRA, the review of trace reports included an incorrect execution time. As a result, Dinosaur Financial Group was fined.
FINRA Censures and Fines Dinosaur Financial Group for Violating Court Order and Overstating Net Capital
Brief Overview: Without admitting or denying the findings, Dinosaur Financial Group consented to the described sanctions and to the entry of FINRA findings that the firm sold all the private placement shares it was planning to distribute the proceeds to the issuer and counsel, but before all the proceeds were distributed, a court order was served on the firm instructing it not to provide the issuer with the proceeds. In addition, the firm had a piggy-back clearing agreement with an overseas affiliate, which resulted in the firm acting as a carrying and clearing firm. The firm amended the piggy-back clearing agreement and therefore the firm was acting as a carrying and clearing firm, thereby raising its net capital requirement. The calculations differed from the firm’s net capital calculations, which overstated its net capital, due not only to using an incorrect minimum net capital figure. As a result, the firm was censured and fined.
FINRA Censures and Fines Dinosaur Financial Group for Failure to Maintain Minimum Capital Requirements
Brief Overview: Without admitting or denying the findings, Dinosaur Financial Group consented to the described sanctions and to the entry of FINRA findings that the firm failed to open and maintain a special reserve bank account for its maintenance of customer funds and failed to maintain its minimum net capital requirement on two separate dates while conducting a securities business. According to FINRA, the firm held customer funds in a “facilitation account” which did not meet the requirements of a reserve bank account, as required by the Securities Exchange Act of 1934. FINRA’s investigation revealed the firm had a deficiency of hundreds of thousands of dollars at a point in time. As a result, Dinosaur Financia Group was censured and fined $50,000.
FINRA Censures and Fines Dinosaur Financial Group for Commissions on Trades by Unregistered Representatives
Brief Overview: Without admitting or denying the findings, Dinosaur Financial Group consented to the described sanctions and to the entry of findings that the firm allowed representatives to enter trades for their customers and earn commissions totaling approximately $19,500 while the representatives were not registered with FINRA through any member firm. As a result, Dinosaur Financial Group was censured and fined.
Dinosaur Financial Group Customer Complaints
There have been a number of customer complaints filed against Dinosaur Financial Group stockbrokers and investment advisors over the years. We have launched investigations of current and former Dinosaur Financial Group advisors:
If you have lost money investing with any of these Dinosaur Financial Group advisors or others within this brokerage firm, it’s important that you reach out to an investment loss attorney quickly because the statutes of limitations can bar your claims. Call us at 800-732-2889.
Why Does Dinosaur Financial Group Have So Many Regulatory Problems And Customer Complaints?
Independent broker-dealers are notorious for their lax supervisory practices and procedures. The business model of many franchise type operations is to open many offices nationwide for steady growth of fixed monthly revenues without the costs attendant to a full-service branch office with on-site manager, compliance officer and operation personnel. The registered representatives of these independent broker-dealers generally operate as separately incorporated businesses. They are not employees of the broker-dealer and therefore not controlled in the same manner as full-service brokerage firm representatives. The registered representatives control their structure and costs to maximize profits and often leave the protection of investors’ rights and interests as their lowest priority.
The typical supervisory organization of independent broker-dealer operations is to have other independent contractors operate Offices of Supervisory Jurisdiction (OSJs) to monitor the registered representatives from geographically remote offices and then report to the main franchisor’s compliance office at national headquarters. The supervisors at the OSJs are not employees of the franchisor and often run their own brokerage, insurance and other businesses. They are not devoted full-time supervisors of the smaller branch offices. Consequently, OSJ managers cannot and do not supervise the day-to-day operations of the registered representatives of these Independent broker-dealers.
Generally, there is no immediate review of new accounts opened, securities transactions, business records, cash or securities receipts and deliveries, correspondence and business activities unrelated to the securities brokerage operation at these independent brokerage firms. The lax supervision leaves investors who have transferred their accounts to the smaller independent broker-dealer vulnerable to sales of securities that have not been reviewed or authorized by anyone other than the sales representative earning a commission. There may be no one onsite to detect forgeries of clients’ signatures on documents, the placement of inaccurate information about a client’s investment objectives and financial condition to document the suitability of a particular investment recommendation. Oftentimes there is no daily review of sales literature and client correspondence to protect against misrepresentations and misleading statements being made to investors. In fact, it is not unusual for there to be only one compliance audit visit per year at many of these offices.
These Independent brokerage business operations are worrisome to the North American Securities Administrators Association (NASAA), which has documented more instances of sales abuse and consequently investor losses at these firms than the traditional brokerage firms with branch offices with on-site managers and compliance personnel.
Did Dinosaur Financial Group Advisor Misconduct Cause You Investment Losses?
When financial advisor misconduct has caused you to lose substantial value to your investment accounts, you have the right to seek reimbursement from the responsible parties. Dinosaur Financial Group is responsible like any employer for its financial advisors acts and omissions. In addition, it has an independent duty to supervise its stockbrokers and investment advisors. These cases can be extremely complex, and so having the support of a reputable attorney who is experienced in recovering investment losses for investors is key to your success. Many customers make the mistake of contacting Dinosaur Financial Group without representation with an attorney about their complaints and have their complaints denied.
Related Read: Can You Sue Your Brokerage Firm?
Investment Losses? We Can Help
Discuss your legal options with an attorney at The Law Offices of Robert Wayne Pearce, P.A.
or, give us a ring at (800) 732-2889.
Consult With An Attorney Who Recovers Investment Losses Caused By Dinosaur Financial Group Today!
The investment loss attorneys at The Law Offices of Robert Wayne Pearce, P.A., have helped countless investors over the last 40 years recover the losses from their investment accounts that were caused by broker negligence or misconduct. The firm has extensive experience with Dinosaur Financial Group cases, and Attorney Pearce is committed to seeing that those responsible for the losses you have suffered are held fully accountable.
Give us a call at 800-732-2889. Let’s discuss your case and see what we can do to help you get the compensation you need and deserve.
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