John Lee Scott Barred from Securities Industry After FINRA Investigation Into Private Placements (1)Publicly available records provided by the Financial Industry Regulatory Authority (FINRA) indicate that broker, John Lee Scott (CRD # 2407610) was recently barred from the securities industry by FINRA’s Department of Enforcement after refusing to cooperate in an investigation into his participation in private placement offerings.

The Law Office of Kevin J. Deloatch, Esq. is interested in speaking to investors who have complaints regarding Mr. Scott.

Registration Background for John Scott

Mr. Scott first became registered in the securities industry in 1993. He was most recently registered with Phoenix, AZ based LPL Financial, LLC (CRD # 6413) from March 2017 to August 2019. His prior registrations include LPL Financial, LLC (CRD # 6413) from August 2013 to June 2015, and Financial Telesis Inc (CRD # 31012) from January 2009 to August 2013.

FINRA’s Allegations Against John Scott

According to FINRA Letter of Acceptance, Waiver and Consent (AWC) dated April 22, 2021, Mr. Scott consented to, without either admitting to or denying, the following findings by FINRA’s Department of Enforcement:

  • On February 26, 2021, in connection with an investigation into potential undisclosed outside business activities and private securities transactions, FINRA sent a request to [Mr.] Scott for on-the-record testimony pursuant to FINRA Rule 8210”;
  • As stated in his counsel’s email to FINRA on March 10, 2021, and by this agreement, [Mr.] Scott acknowledges that he received FINRA’s request and will not appear for on-the-record testimony at any time”; and
  • By virtue of his actions, Mr. Scott violated FINRA Rule 8210, regarding cooperating in FINRA investigations and FINRA Rule 2010, regarding standards of commercial honor and principles of trade.

FINRA Bars John Scott from Securities Industry

As a result of such violations and in addition to the above described findings and conclusions, FINRA’s April 22, 2021 AWC also indicates that Mr. Scott consented to the following sanction(s):

  • A bar from association with any FINRA member in all capacities.

John Scott Has No History of Securities Industry Customer Complaints

In addition to John Scott being barred by FINRA from the securities industry for his refusal to cooperate in a FINRA investigation regarding private placement offerings, FINRA BrokerCheck for Mr. Scott reveals that he has no history of customer complaints and/or customer initiated arbitrations.

If you or someone you know has or had a brokerage account with John Lee Scott 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.