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Denise Sobczak Is the Subject of FINRA Suspension

Dec 31, 2021 FINRA Investigation

Denise Sobczak (CRD #: 3078128), a broker registered with Kestra Investment Services, has been suspended by FINRA, according to her BrokerCheck record, accessed on July 23, 2022. If you want to know more about Denise Sobczak’s conduct as a broker, keep reading.

Suspension by FINRA

On June 15, 2022, Denise Sobczak consented to the entry of findings that she allegedly forged signatures on firm documents while working for Raymond James Financial Services.

According to a Letter of Acceptance, Waiver & Consent (AWC), from April 2016 through July 2020, Denise Sobczak allegedly forged 38 firm documents by cutting and pasting clients’ initials and signatures from previously signed documents onto new documents, as well as by cutting and pasting her branch manager’s signature on firm documents.

These documents allegedly included new account forms, money movement letters of authorization, ACH setup requests, IRA beneficiary designations, cash distribution requests, and other documents.

Additional Alleged Forgeries

From July 2018 through May 2020, Denise Sobczak allegedly falsified an additional 34 firm documents by having clients initial or sign blank or incomplete forms, while she added and/or corrected previously missing/incorrect information without directing the client to re-execute the form.

The documents allegedly included customer account transfer instructions, cash distribution requests, IRA beneficiary designations, ACH setup requests, and other documents. These clients allegedly also approved the activity authorized by the documents.

These alleged forgeries violate FINRA Rules 4511 and 2010.

FINRA Rules 4511 and 2010

FINRA Rule 4511 requires firms to keep books and records, with the implicit obligation to maintain the accuracy of their records.

Forgery violates FINRA Rule 2010, which requires brokers to uphold high standards of professional honor and ethical conduct.

Sanctions

Denise Sobczak consented to the following sanctions:

  • $5,000 fine
  • Three-month suspension

Her suspension began on July 5, 2022, and will end on October 4, 2022.

You can read the full AWC here.

Regulatory Action by New Jersey Bureau of Securities

On January 7, 2021, the New Jersey Bureau of Securities entered into a heightened supervision agreement with Denise Sobczack as a condition of her registration following a review of her disciplinary history. This agreement restricts her from conducting the following:

  • Acting in a supervisory capacity
  • Having any legal or beneficial ownership interest, or exercising any direct or indirect involvement in the direction or control of any broker-dealer, investment adviser, or branch office
  • Opening any new accounts as a broker or investment adviser of record or soliciting the opening of new accounts
  • Soliciting, giving advice, or receiving any fees or commissions on any securities or investment advisory business
  • Being the agent of record on any accounts

Discharge from Raymond James Financial Services

On September 25, 2020, Denise Sobczak was fired from Raymond James Financial Services after allegedly violating firm policies regarding document integrity. Specifically, Denise Sobczak allegedly accepted blank, signed forms from clients, copied and pasted client signatures and initials into account documents, and copied and pasted the branch manager’s signature into account documents.

Background Information

Denise Sobczak has passed the following exams:

  • Series 66 – Uniform Combined State Law Examination
  • SIE – Securities Industry Essentials Examination
  • Series 31 – Futures Managed Funds Examination
  • Series 7 – General Securities Representative Examination

Denise Sobczak is a registered broker in seven states and a registered investment adviser in New Jersey.

She has also worked for the following firms:

  • Raymond James Financial Services Advisors (CRD#:149018)
  • Raymond James Financial Services (CRD#:6694)
  • Citigroup Global Markets (CRD#:7059)
  • Merrill Lynch, Pierce, Fenner & Smith (CRD#:7691)

Kurta Law Can Help

If you worked with Denise Sobczak and you have concerns about your investments, please contact us today at 877-600-0098 or info@kurtalawfirm.com for a free consultation.

For over 20 years, Kurta Law has advocated on behalf of investors who want to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm and 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. 

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