The Huntington Investment Company (“Huntington Investment Company”) (CRD#16986) 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 Huntington Investment Company, its regulatory and customer complaints, and have also represented investors with claims of fraud, negligence, and breach of fiduciary duty against this organization and its financial advisors.
If you believe you have a claim against Huntington Investment Company, 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 Huntington Investment Company?
If you’ve lost money caused by Huntington Investment Company and/or its employees’ misconduct then the answer is, YES, you can sue Huntington Investment Company, 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 Huntington Investment Company in FINRA arbitration proceedings but WIN that arbitration. The easiest way to know if you have a viable case against Huntington Investment Company] 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 Huntington Investment Company?
Huntington Investment Company (CRD#16986) 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, Huntington Investment Company 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.
Huntington Investment Company Has Many Different Regulatory Problems
Huntington Investment Company’s rapid growth has not been without consequences. There have been approximately 18 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 Huntington Investment Company for 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. Huntington Investment Company is a repeat offender: there are over 18 FINRA-reported disciplinary proceedings citing the firm with one form of supervisory lapses or another.
A Brief Overview of Some of the Regulatory Problems Huntington Investment Company Has Faced Over the Years*
Huntington Investment Company 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:
SEC Censured Huntington Investment Company for Inadequate Disclosure Concerning Mutual Fund Share Class Selection
Brief Overview: The Securities and Exchange Commission issued an order instituting administrative and cease-and-desist proceedings against Huntington Investment Company for breaches of fiduciary duty and inadequate disclosures in connection with its mutual fund share class selection practices and the fees it and its associated persons received pursuant to rule 12b-1 under the Investment Company Act of 1940. According to the SEC, the firm purchased, recommended, or held for advisory clients’ mutual fund share classes that charged 12b-1 fees instead of lower-cost share classes of the same funds for which the clients were eligible. Indeed, the firm and its agents received 12b-1 fees in connection with these investments. However, the firm failed to disclose in its Form ADV the conflicts of interest related to its receipt of 12b-1 fees, and/or its selection of mutual fund share classes that pay such fees. As a result of the conduct, the firm was censured and paid $197,351.96 in disgorgement.
Ohio State Department of Insurance Fines Huntington Investment Company for Incorrectly Answering Insurance Renewal Application
Brief Overview: The Ohio State Department of Insurance initiated an investigation into Huntington Investment Company that revealed the firm was supposed to answer “yes” to the department of insurance renewal application showing it was previously subject to a FINRA regulatory action such as an AWC. Specifically, the Department alleged that the firm failed to answer affirmative to question #2 of the renewal application for Ohio insurance licensure when it renewed its application about FINRA and other state regulatory actions such as an AWC and consent order from the state. As a result of the investigation and findings, the firm was fined.
FINRA Censures and Fines Huntington Investment Company for Failure to Apply Sales Charge Discounts to UIT Purchases by Customers
Brief Overview: Without admitting or denying the findings, Huntington Investment Company consented to the sanctions and to the entry of FINRA findings that it failed to identify and apply sales charge discounts to certain customers’ eligible purchases of unit investment trusts resulting in customers paying excessive sales charges. FINRA stated the firm failed to establish, maintain, and enforce a supervisory system and written supervisory procedures reasonably designed to ensure that customers received sales charge discounts on all eligible UIT purchases. Specifically, the firm lacked supervisory procedures regarding the identification of UIT transactions eligible for sales charge discounts. Instead, the firm relied primarily on its registered representatives to identify and apply sales charge discounts. As a result, the firm was censured and fined $75,000 apart from paying restitution to customers.
NASD Censures and Fines Huntington Investment Company for Sponsoring Sales Contest Favoring Proprietary Products
Brief Overview: The NASD initiated an investigation into Huntington Investment Company that revealed the firm sponsored a sales contest offering those who met certain production goals set by the firm requiring that participants meet 100% of the member’s funds production goal with a maximum goal of $3,000,000 in volume and a minimum goal of $1,500,000 in volume of any combination of variable annuity products, fee-based wrap products, and through the allocation of the member’s funds as investment products within a 401k product offered through a partner bank. According to the NASD, those achieving the production goal were eligible for a $182,000 cruise. Based on the terms of the sales contest, it weighed the firm’s proprietary mutual fund and variable annuity products more than other investments products offered by the firm. The firm did not admit or deny the allegations but rather consented to sanctions and was therefore fined.
Florida Division of Securities Fines Huntington Investment Company for Failure to Register Florida Branches
Brief Overview: The Florida Division of Securities initiated an investigation into Huntington Investment Company for unregistered offices within the state. According to the Division, the firm inadvertently failed to register with the Florida securities division 16 branch offices out of approximately 105 it had in Florida. Indeed, the firm had registered all branch offices with the NASD, but mistakenly did not complete registration for 16 of its Florida branches. As a result, the firm entered into a stipulation and consent agreement and was fined for each unregistered office.
*Above are only some of the regulatory disciplinary actions filed against Huntington Investment Company by FINRA. NASAA and other state securities regulator investigations and enforcement actions account for another 13 BrokerCheck disclosures.
Huntington Investment Company Customer Complaints
There have been scores of customer complaints filed against Huntington Investment Company stockbrokers and investment advisors over the years. We have launched many investigations of current and former Huntington Investment Company advisors:
- Timothy Fast Formerly With The Huntington Investment
- Jill Minkner of The Huntington Investment Company
- Michael Zinser of The Huntington Investment Company
- Richard Hinesley of The Huntington Investment Company
- Steven Reauso of The Huntington Investment Company
- Mark Davis II of The Huntington Investment Company
- Derek Taylor of The Huntington Investment Company
- Jennifer Drapp of The Huntington Investment Company Reviews
- Kevin Miller Formerly With The Huntington Investment Company FIRED
If you have lost money investing with any of these Huntington Investment Company 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 Huntington Investment Company Have So Many Regulatory Problems And Customer Complaints?
Independent broker-dealers are notorious for their lax supervisory practices and procedures. The business model of these 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 Huntington Investment Company 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. Huntington Investment Company 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 Huntington Investment Company 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 Huntington Investment Company 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 Huntington Investment Company 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.
Rate this Post
Loading...