Former Mutual Securities Investment Adviser Suspended for Recommending Woodbridge Investments

Posted on February 13th, 2019 at 9:34 AM
Former Mutual Securities Investment Adviser Suspended for Recommending Woodbridge Investments

From the Desk of Jim Eccleston at Eccleston Law LLC:

FINRA has suspended former Mutual Securities investment adviser, Gary L. Pevey from the industry for one year for selling $1.1 million worth of Woodbridge Group of Companies (Woodbridge) investments to his clients.

According to FINRA’s investigation, Pevey a resident of Sacramento, California solicited investors to purchase promissory notes relating to Woodbridge, a purported real-estate investment fund. Moreover, recently, the CEO of Woodbridge agreed to settle allegations against him that he defrauded investors in a $1.2 billion real estate Ponzi scheme that drove his company into bankruptcy.

Pevey sold approximately $1.11 million in Woodbridge promissory notes to 15 investors, five of whom were Mutual Securities customers and received $40,027 in commissions in connection with these transactions. Furthermore, Pevey did not provide notice to Mutual Securities prior to participating in these private securities transactions, nor did he obtain approval from the Firm.

In addition to the suspension, Pevey was ordered to pay a $10,000 fine and to disgorge over $40,000 in commissions.

Eccleston Law is investigating the trading activities of Gary L. Pevey. Those with information should contact our law firm.

The attorneys of Eccleston Law LLC represent investors and advisors nationwide in securities and employment matters. The securities lawyers at Eccleston Law also practice a variety of other areas of practice for financial investors and advisors including Securities FraudCompliance ProtectionBreach of Fiduciary DutyFINRA Matters, and much more. Our attorneys draw on a combined experience of nearly 65 years in delivering the highest quality legal services. If you are in need of legal services, contact us to schedule a one-on-one consultation today.

Related Attorneys: James J. Eccleston

Tags: james eccleston, eccleston law, eccleston law llc, eccleston, finra, woodbridge investments, gary pevey,

Return to Archive

TESTIMONIALS

Previous
Next

I am grateful to have found an outstanding law firm that specializes in securities matters. My lawyers were extremely knowledgeable, diligent, and are skilled litigators. No stone was left upturned. As a result of their experience and tenacity, the arbitration proceeding was dismissed in my favor.

Michael E.

LATEST NEWS AND ARTICLES

August 16, 2022
SEC Warns Financial Advisory Firms Regarding Conflicts of Interest Tied to Compensation

The Securities and Exchange Commission (SEC) has sent a warning to financial advisory firms that they must go above and beyond solely disclosing conflicts of interest related to employee pay programs in order to avoid regulatory scrutiny. 

August 15, 2022
FINRA Proposal Would Permit Private Homes to Serve as Non-Branch Offices

The Financial Industry Regulatory Authority (FINRA) has filed proposed changes to FINRA Rule 3110 with the Securities and Exchange Commission (SEC).

August 12, 2022
SEC Charges J.P. Morgan, UBS, and TradeStation for Deficiencies Pertaining to the Prevention of Customer Identify Theft

The Securities and Exchange Commission (SEC) has charged J.P. Morgan Securities, UBS Financial Services, and TradeStation Securities over deficiencies in their programs designed to prevent client identify theft, which violates the SEC’s Identity Theft Red Flags Rule, or Regulation S-ID.