FINRA’s Department of Enforcement investigated PTX’s alleged misconduct and determined it violated its supervisory role for two private offerings in oil and gas private placements. According to FINRA, PTX derived the majority of its revenue from its role as a managing wholesaler broker dealer for four oil and gas private placements in 2013 and 2014. Nevertheless, FINRA alleged PTX failed to conduct adequate due diligence into the potential impact of an adverse money judgment against one of the private placement issuers.
Based upon the foregoing alleged misconduct, FINRA contends PTX violated NASD Conduct Rule 3010, and also violated FINRA Rule 2010. For example, NASD Rule 3010(b) requires each member to establish and maintain a system of supervision that is reasonably designed to achieve compliance with applicable securities laws and regulations and with applicable NASD and FINRA Rules.
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 and damages investing with PTX in oil and gas private placements, 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.