FINRA’s Department of Enforcement investigated Roberson’s alleged fraud regarding the sale of a WMG 2015 Bond Debenture. In July 2015, FINRA alleged Roberson recommended and sold to his customer a WMG 2015 Bond Debenture issued by Roberson’s investment advisory firm, Wealth Management Group, Inc. According to FINRA, based upon the terms of the bond, the customer was to invest $40,000 for “one year or less” and to be paid interest at the rate of 25%. Unfortunately for the investor, the bond did not exist and Roberson used the funds to pay for his personal expenses.
Based upon the foregoing alleged misconduct, FINRA found Roberson violated FINRA Rules 2010 and 2020, as well as Section 10(b) of the Securities Act of 1934 and Rule 10b-5 thereunder. For example, FINRA’s anti-fraud rule, Rule 2020, prohibits FINRA members and associated persons from effecting any securities transaction, or inducing the purchase or sale of a security, by means of any manipulative, deceptive, or other fraudulent device or contrivance.
Lufrano Law, LLC is a national securities litigation firm and has experience representing investors who have investment disputes with brokers and broker-dealers. If you suffered investment losses investing with Roberson through Capital City, you may be able to recover your losses through FINRA arbitration. Our firm only receives a fee if you recover money. Please complete the contact form below or contact one of our attorneys at (800) 627-2179 to schedule a free consultation or complete our free case evaluator.