Dennis Ayre Named in Dispute Seeking Over $5 Million in Damages
Dennis Ayre (CRD #: 5365176), a broker formerly registered with Hilltop Securities, is involved in a pending dispute, according to his BrokerCheck record, accessed on May 12, 2023. Read on if you want to know more about his alleged conduct as a broker.
Pending Dispute
On July 16, 2021, multiple investors filed a dispute naming Dennis Ayre in allegations of the following with regard to the clients’ purchases and concentration of stock in Foresight Energy LP:
- Fraud
- Unsuitability
- Negligent and intentional misrepresentation and omission
- Other negligence
- Failure to supervise
- Violations of California securities laws
- Violations of FINRA rules
- Breach of contract
- Loss of investment opportunity
The clients alleged that this misconduct occurred between March 1, 2014, and September 30, 2019. They seek $5,480,902.73 in this pending dispute.
FINRA Rule 2111
FINRA Rule 2111 defines suitable investments as securities that fit an investor’s profile, which describes characteristics such as their tax status, risk tolerance, and age.
Investors who rely on brokers for recommendations may be able to recover their losses by pursuing FINRA arbitration.
FINRA Rule 3110
FINRA Rule 3110 requires that firms establish systems of supervision to ensure their compliance with securities regulations. This includes appointing supervisors and providing them with Written Supervisory Procedures (WSPs).
FINRA Rule 2010
FINRA Rule 2010 holds brokers to high standards of commercial honor and just and equitable principles of trade.
What is broker negligence?
Brokers may act in many negligent ways, including misrepresenting material facts, recommending unsuitable investments, or executing unauthorized trades.
Investors who feel their losses are the result of broker negligence may be able to recover their funds through FINRA arbitration.
Bar by FINRA
On January 28, 2022, Dennis Ayre consented to the entry of findings that he allegedly refused to appear for on-the-record testimony requested in connection with a FINRA investigation into the suitability of his investment recommendations.
According to a Letter of Acceptance, Waiver & Consent (AWC), this alleged refusal to appear violated FINRA Rules 8210 and 2010.
FINRA Rule 8210
FINRA Rule 8210 requires members to supply records, information, and testimony upon request by FINRA.
Sanctions
Dennis Ayre was permanently barred by FINRA starting January 28, 2022.
You can read the full AWC here.
Settled Disputes
Three disputes filed in 2020 and 2023 alleged that Dennis Ayre engaged in negligence with regard to the clients’ concentration in Foresight Energy LP stock from 2014-2017. These disputes were settled for approximately $670,000.
Six more disputes, filed from 2019-2020, named Dennis Ayre in allegations of unsuitable investment recommendations and other violations of suitability. These disputes were collectively settled for approximately $1.1 million.
Background Information
Dennis Ayre has passed the following exams:
- Series 63 – Uniform Securities Agent State Law Examination
- Series 65 – Uniform Investment Adviser Law Examination
- SIE – Securities Industry Essentials Examination
- Series 7 – General Securities Representative Examination
He previously worked for the following firms:
- Hilltop Securities (CRD#:6220)
- Oppenheimer & Company (CRD#:249)
- Merrill Lynch, Pierce, Fenner & Smith (CRD#:7691)
- Wells Fargo Advisors (CRD#:19616)
- First Republic Securities Company (CRD#:105108)
Kurta Law Can Help
If you worked with Dennis Ayre 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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