Kyle Patrick Harrington Allegedly Converted Customer Funds by Taking & Exercising Ownership over $19,874.64 from One of His Customers Without Authorization
Kyle Harrington allegedly converted customer funds by intentionally and without authorization taking and exercising ownership over $19,874.64 belonging to one of his customers when he neither owned the property nor was entitled to possess it, according to a pending Regulatory Action Filed on Harrington’s FINRA BrokerCheck Report under review by investor rights attorney Alan Rosca.
Alan Rosca, of the Goldman Scarlato & Penny PC law firm, is investigating activity related to Kyle Harrington’s alleged conversion of customer funds. Investors who believe they may have lost money in activity related to Kyle Harrington’s alleged conversion of customer funds are encouraged to contact attorney Alan Rosca with any useful information or for a free, no obligation discussion about their options.
The aforementioned action was filed on June 23, 2017, FINRA states, and also alleges that Harington engaged in a series of private securities transactions with at least two individuals through which he sold over 300,000 shares of restricted stock he had purportedly received as compensation from a company for approximately $276,000.
Harrington then allegedly failed to provide his member firm with prior written notice of his private securities transactions, including his proposed role as seller in the transactions, and Harrington lied to his firm when he mischaracterized the purpose of payments received into his bank accounts, FINRA states.
Specifically, Harrington allegedly falsely characterized three payments received from one of the individuals for the purchase of the stock as vacation-rental-by-owner (VRBO) income, and Harrington also allegedly falsely characterized the $100,000 payment he received from the other individual for the purchase of stock as a payment from his former broker-dealer, FINRA notes.
Harrington Barred by FINRA and Ordered to Pay $105K Plus Interest to the Member Firm and Order to Pay $191K Plus Interest to FINRA
Kyle Harrington, as a result of the aforementioned alleged behavior, was barred by FINRA, according to his FINRA BrokerCheck Report.
The decision was made by a FINRA Hearing Panel on November 12, 2018, and stated that Harrington is barred from associating with any member firm, ordered to pay $105,000, plus interest, in restitution to the member firm and ordered to pay $190,974.64, plus interest, in disgorgement to FINRA, FINRA states.
Kyle Harrington has 14 disclosures on his FINRA BrokerCheck Report, has 20 years in the securities industry with 17 other firms, and most recently worked for Aurora Capital LLC in Bridgehampton, NY from December 7, 2016 through July 18, 2018, FINRA notes.
Finally, it is important to note that, as of the date of this article, there has not been a finding of liability as to the complaints mentioned in this article, unless otherwise indicated.
Securities Lawyer Investigating
The Goldman Scarlato & Penny PC law firm represents investors who lose money as a result of investment-related fraud or misconduct and are currently investigating Kyle Harrington’s alleged conversion of customer funds. The firm takes most cases of this type on a contingency fee basis and advance the case costs, and only gets paid for their fees and costs out of money recovered for clients. Attorney Alan Rosca, a securities lawyer and adjunct professor of securities regulation, and has represented thousands of victimized investors across the country and around the world in cases ranging from arbitrations to class actions.
Investors who believe they lost money as a result of Kyle Harrington’s alleged conversion of customer funds may contact attorney Alan Rosca for a free no-obligation evaluation of their recovery options, at 888-998-0530, via email at email@example.com, or through the contact form on this webpage.