Publicly available records provided by the Financial Industry Regulatory Authority (FINRA) indicate that broker/advisor, Blakely Page (CRD # 2922955) was recently suspended from the securities industry by FINRA’s Department of Enforcement after an investigation into the negligent misrepresentation of an investment fund.
The Law Office of Kevin J. Deloatch, Esq. is interested in speaking to investors who have complaints regarding Mr. Page.
Registration Background for Blakely Page
Mr. Page first became registered in the securities industry in 1998. He was most recently registered with Bryn Mawr, PA based Spouting Rock Capital Advisors, LLC (CRD # 143180) from May 2007 to December 2021. His prior registrations include Cascade Financial Management, Inc. (CRD # 119030) from January 2007 to May 2007 and Banc of America Securities, LLC (CRD # 26091) from January 2006 to January 2007.
FINRA’s Allegations Against Blakely Page
According to FINRA Letter of Acceptance, Waiver and Consent (AWC) dated May 20, 2022 (No. 2019062612901), Mr. Page consented to, without either admitting to or denying, the following findings by FINRA’s Department of Enforcement:
- “From October 2017 through October 2018, Page made negligent misrepresentations about the performance of an investment fund to prospective investors”;
- “In early 2017, Page formed a hedge fund (the Feeder Fund)”;
- “The Feeder Fund was formed to pool investor funds and make an investment in another, unaffiliated hedge fund (the Master Fund)”;
- “[T]he Master Fund provided unaudited financials claiming that the fund had realized, net of fees, a rate of return exceeding 80% in 2016”;
- “[Mr.] Page did not independently verify the accuracy of the performance results provided by the Master Fund, but asked others to conduct due diligence on the Master Fund”;
- “The marketing materials for the Feeder Fund included the performance numbers for the Master Fund that were provided by the Master Fund”;
- “However, the performance numbers provided by the Master Fund significantly overstated the Master Fund’s historic rate of return, a material fact”;
- “Between October 2017 and October 2018, [Mr.] Page distributed the marketing materials for the Feeder Fund, which contained the materially inaccurate performance numbers for the Master Fund, to more than two dozen prospective investors”; and
- By virtue of his actions, Mr. Page violated of FINRA Rule 2010 regarding standards of commercial honor and principles of trade.
FINRA Suspends Blakely Page from Securities Industry
As a result of such violations and in addition to the above-described findings and conclusions, FINRA’s May 20, 2022 AWC also indicates that Mr. Page consented to the following sanction(s):
- A six-month suspension from association with any FINRA member in all capacities; and
- A fine in the amount of $5,000.00.
Blakely Page Has No History of Securities Industry Customer Complaints
In addition to Blakely Page being suspended by FINRA from the securities industry regarding negligent misrepresentation, FINRA BrokerCheck for Mr. Page reveals that he has no prior history of customer complaints and/or customer-initiated arbitrations.
If you or someone you know has or had a brokerage account with Blakely Page and have concerns regarding losses in your investments or possible sales practice violations including fraud, you may be entitled to recover lost funds. The Law Office of Kevin J. Deloatch, Esq. has an extensive securities law practice and over 30 years of experience on Wall Street. Call today at (646) 792-2156 for a free consultation. The time to file your claim may be limited so you should call today to avoid delay.