James Ptacek Fired from LPL Financial Over Alleged Private Securities Transactions

James Ptacek (CRD #: 1959049), a broker formerly registered with LPL Financial, is the subject of an investor dispute. This is according to his BrokerCheck record, accessed on September 8, 2025. If you want to know more about his alleged conduct as a broker, read on.

Investor Allegations 

On June 24, 2025, an investor alleged that James Ptacek made unsuitable investment recommendations in light of the customer’s investment objectives and risk tolerance. 

What is an Unsuitable Investment? 

FINRA Rule 2111, a.k.a. The Suitability Rule, requires brokers to tailor their investment recommendations to suit investors’ needs. 

Rule 2111 also requires brokers to consider the following investor characteristics: 

• Age
• Risk tolerance
• Time horizon (i.e., how long the investor plans to hold the investment)
• Investing experience
• Tax status
• Financial goals

Investments that do not fit the criteria established by the investor profile may be unsuitable. Investors who rely on brokers for recommendations may recover their losses by pursuing FINRA arbitration.

Termination from LPL Financial 

On November 13, 2024, James Ptacek was fired from LPL Financial for allegedly failing to disclose and receive approval for certain outside business activities (OBAs) and private securities transactions.

FINRA Rule 3270

FINRA Rule 3270 requires brokers to disclose any business activities they engage in outside their firm, as well as any compensation they may receive from these activities.

FINRA Rule 3280

FINRA Rule 3280 requires brokers to provide written notice to their firm before engaging in private securities transactions.

Outside Business Activities

James Ptacek discloses the following outside business activities in his detailed BrokerCheck report:

• Ta-Check Financial, selling insurance, providing tax preparation services, and working as a Registered Investment Advisor (RIA)
• Ptacek Real Estate, serving as its president and landlord for a rental property
• P&M, a business entity created for tax/investment purposes
• Sharaba’s Financial Services, an entity related to LPL Financial but no longer registered with FINRA or the SEC

Background Information

James Ptacek has passed the following exams:

• Securities Industry Essentials Examination – SIE
• General Securities Representative Examination – Series 7
• Investment Company Products/Variable Contracts Representative Examination – Series 6
• Uniform Combined State Law Examination – Series 66
• Uniform Securities Agent State Law Examination – Series 63

He previously worked for the following firms:

• LPL Financial (CRD#:6413)
• SII Investments (CRD#:2225)
• FSC Securities (CRD#:7461)
• Royal Alliance Associates (CRD#:23131)
• Mutual Service Corporation (CRD#:4806)
• NML Equity Services (CRD#:2881)
• Kidder, Peabody & Company (CRD#:7613)

Kurta Law Can Help

If you worked with James Ptacek 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 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.