Chris Martin Suspended by FINRA
Chris Martin (CRD #: 4179127), a broker registered with Centaurus Financial, has been suspended by FINRA. This disclosure appears on his BrokerCheck record, accessed on February 28, 2025. If you have questions about his alleged conduct as a broker, read on.
FINRA Suspension
On January 14, 2025, Chris Martin consented to the entry of findings that he allegedly participated in private securities transactions without the approval of his firm, Centaurus Financial.
According to a Letter of Acceptance, Waiver & Consent (AWC), Chris Martin had allegedly co-founded a management company in 2017 that sought to manufacture cannabis products through its subsidiaries. He allegedly disclosed his role as an executive officer and board member to Centaurus Financial in February 2017.
However, he allegedly did not disclose his participation in the sale of $4,436,381 of company stock to 106 investors through a private offering between July 2017 and October 2022. He allegedly provided information to investors about this offering and, in some cases, facilitated their investments by accepting investor subscription agreements.
Nineteen of these investors were allegedly clients of Chris Martin at Centaurus Financial. Chris Martin allegedly falsely attested on six annual firm compliance questionnaires that he had not engaged in any private securities transactions.
The AWC concluded that these allegations constitute violations of FINRA Rules 3280 and 2010.
Private Securities Transactions
FINRA Rule 3280 requires brokers to provide written notice to their firm before engaging in private securities transactions.
High Standards of Commercial Honor
FINRA Rule 2010 holds brokers to high standards of commercial honor and just and equitable principles of trade. Violations of FINRA Rule 3280 also violate this rule.
Sanctions
Chris Martin consented to the following sanctions:
- Two-year suspension from associating with FINRA members
- $15,000 fine
His suspension began on February 3, 2025, and will end on February 2, 2027. You can read the full AWC here.
Investor Dispute
On August 21, 2024, investors alleged that Chris Martin engaged in unfair business practices and provided untrue statements when he sold shares in a private placement. He allegedly engaged in constructive fraud and sold these away from his broker-dealer.
The investors further alleged that he engaged in elder abuse. This dispute is currently pending.
Misrepresentation
FINRA Rule 2020 prohibits the use of deceptive, manipulative, and otherwise fraudulent methods to influence the purchase and sale of securities. The misrepresentation or omission of material facts violates this rule.
Background Information
Chris Martin has passed the following exams:
- Series 66 Uniform Combined State Law Examination
- Series 63 Uniform Securities Agent State Law Examination
- SIE – Securities Industry Essentials Examination
- Series 7 General Securities Representative Examination
- Series 6 Investment Company Products / Variable Contracts Representative Examination
- Series 24 General Securities Representative Examination
Chris Martin is a registered broker in 11 states and a registered investment advisor in nine states.
During his 25 years of experience, he has registered with four firms:
- Centaurus Financial (CRD #: 30833)
- Liberty Group (CRD #: 106036)
- Intersecurities (CRD #: 16164)
- TransAmerica Financial Resources (CRD #: 3600)
Kurta Law Can Help
If you worked with Chris Martin and have concerns about your investments, do not hesitate to contact us at 877-600-0098 or email info@kurtalawfirm.com for a free consultation.
For nearly 20 years, Kurta Law has advocated for investors to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm that exclusively represents investors against brokers and brokerage firms on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf. Do not let securities fraud go unchecked. Start your recovery process today.