Ray Thomas (CRD#: 1675282), a former registered representative with Network 1 Financial Securities, Inc. (13577), is currently the subject of a Financial Industry Regulatory Authority (FINRA) regulatory action, according to his BrokerCheck record accessed on March 16, 2020.
On March 6, 2020, the FINRA Department of Enforcement filed a complaint against Ray Thomas, alleging that he engaged in undisclosed outside business activities. FINRA alleges that Ray Thomas acted as an officer, director, and employee of a company he formed and did not inform his member firm that he was engaging in this outside business activity. FINRA alleges that he entered into several agreements in his role with this company, including a consulting agreement with an international venture capitalist. Many of these agreements show that Ray Thomas was compensated for his activities. Ray Thomas allegedly maintained bank accounts in the company’s name and received wire deposits, using company proceeds to pay his personal expenses. FINRA Enforcement’s complaint further alleges that Ray Thomas repeatedly provided false information to FINRA to try to conceal his involvement in these outside business activities. When FINRA asked Ray Thomas to identify all of his bank accounts, he did not identify any of the company’s bank accounts, even though he had withdrawn almost $100,000 from those accounts over the course of 14 months. When Ray Thomas provided on-the-record testimony to FINRA, he falsely stated that his mother controlled those accounts. A copy of the FINRA Department of Enforcement complaint can be viewed here.
This is not the only disclosure on Ray Thomas’s BrokerCheck. He has been terminated from a member firm and has been involved in one customer complaint. On March 13, 2018, Ray Thomas was terminated from Network 1 Securities, Inc. after the firm alleged that he failed to provide requested records, violating the firm’s Written Supervisory Procedures (WSPs). On July 12, 2004, a customer alleged that Ray Thomas engaged in unauthorized trading in their account. The matter later settled.
Over his 20 years in the securities industry, Ray Thomas has worked for 16 broker-dealers, many of which have been expelled from the securities industry by FINRA. In addition to his most recent position with Network 1 Financial Securities, Inc. (CRD#: 13577), he has also worked for:
- Newport Coast Securities, Inc. (CRD#: 16944) — expelled by FINRA on June 25, 2018
- Legend Securities, Inc. (CRD#: 44952) — expelled by FINRA on April 17, 2017
- Emerald Investments, Inc. (CRD#: 139511)
- Success Trade Securities, Inc. (CRD#: 46027) — expelled by FINRA on October 9, 2015
- Lempert Brothers International USA, Inc. (CRD#: 128241)
- Aura Financial Services, Inc. (CRD#: 42822)
- First Montauk Securities Corp. (CRD#: 13755)
- Westor Online, Inc. (CRD#: 103823) — expelled by FINRA on June 19, 2013
- U.S. Securities & Futures Corp. (CRD#: 36045)
- Seaboard Securities, Inc. — expelled by FINRA on February 11, 2011
- Pacific Continental Securities Corporation (CRD#: 2398)
- E.C. Capital, Ltd. (CRD#: 37447)
- La Jolla Capital Corporation (CRD#: 24341)
- Redstone Securities, Inc. (CRD#: 19628) — expelled by FINRA on November 10, 2003
- Bishop, Allen, Inc. (CRD#: 2060)
If Ray Thomas was your broker and you have questions about your investments, don’t hesitate to contact the securities attorneys of Fitapelli Kurta to learn about your options for recovery. Call (877) 238-4175 or email email@example.com for your free case consultation.