Securities Arbitration Lawyer Blog
The Financial Industry Regulatory Authority (“FINRA”) has suspended former broker Jasmit Singh from the securities industry for seven months over allegations that Mr. Singh participated in private securities transactions and engaged in outside business activities without providing prior written notice to his firm. In addition to the suspension, FINRA fined him $10,000 and ordered him to disgorge $5,500 in finder’s fees.
Mr. Singh was registered as an Investment Banking Representative with J.P. Morgan Securities LLC (“J.P. Morgan”) in New York, NY, from August 2017 until February 2020.
If you have lost money with former broker Jasmit Singh or J.P. Morgan, contact New York securities arbitration lawyers Iorio Altamirano LLP for a free and confidential evaluation of your account.
FINRA Letter of Acceptance, Waiver, and Consent No. 2019064899201
On January 26, 2021, Mr. Singh and FINRA entered into a Letter of Acceptance, Waiver, and Consent (“AWC”). The AWC includes the following factual findings:
- Between April 2019 and December 2019, Mr. Singh solicited six investors, who were not customers of JP Morgan, to invest a total of $500,000 in four private placement offerings through a venture capital fund.
- Mr. Singh communicated with the investors verbally and in writing to inform them about offerings.
- He encouraged the investors to invest and introduced them to an arranged discussion with a general partner of the fund.
- Mr. Singh facilitated the transactions by sending the investors subscription agreements and wiring instructions that he received from the general partners.
- Mr. Sing received a total of $5,500 in finder’s fees in connection with these transactions.
- He did not provide notice to or receive approval from J.P. Morgan prior to participating in the transactions.
In addition, the AWC alleged that Mr. Singh engaged in unapproved outside business activities between April 2018 and February 2020. Specifically, that he failed to provide written notice to J.P. Morgan prior to marketing apparel, vaping products, and event promotion services through two-commerce companies he co-owned, and prior to performing consulting services for a small business.
J.P. Morgan: A Duty to Supervise
Financial institutions, like J.P. Morgan, must properly supervise financial advisors and customer accounts. Brokerage firms are required to establish and maintain a reasonably designed system to oversee account activity, such as private securities transactions, to ensure compliance with securities laws and industry regulations. When a brokerage firm fails to supervise its financial advisors or the investment account activity sufficiently, it may be liable for investment losses sustained by customers.
Iorio Altamirano LLP is a securities arbitration law firm based in New York, NY. We pursue FINRA arbitration claims nationwide on behalf of investors to recover financial losses arising out of wrongful conduct by financial advisors and brokerage firms.
If you have lost money with broker Jasmit Singh or J.P. Morgan Securities, contact New York securities arbitration lawyers August Iorio and Jorge Altamirano of Iorio Altamirano LLP at august@ia-law.com, jorge@ia-law.com or toll-free at (855) 430-4010 for a free and confidential evaluation of your account.
Iorio Altamirano LLP is a bilingual law firm, fluent in both English and Spanish.