John Davenport Named in Regulatory Disclosure Following Investor Allegations
John Davenport (CRD #: 1448999), a broker registered with Liberty Partners Financial Services, was named in a regulatory action initiated by the State of Connecticut Insurance Department, according to his BrokerCheck Record accessed on March 26, 2022.
State of Connecticut Insurance Department Regulatory Disclosure
The disclosure alleges that between April 2 and May 14, 2021, John Davenport and other individuals at his member firm, one of whom was unlicensed, impersonated two clients on thirteen phone calls to an insurer without the clients' knowledge or consent.
FINRA Rule 2010
FINRA Rule 2010 requires members and associated persons to "observe high standards of commercial honor and just and equitable principles of trade" in the conduct of their business. Impersonating a customer is inconsistent with this standard.
John Davenport consented to the following sanctions:
- A $10,000 fine
- Completion of Ethics course
- One year probation
Settled Investor Dispute
On July 27, 2019, an investor filed a dispute against John Davenport alleging violation of FINRA Rule 2111, negligence, misrepresentation and omission, and breach of fiduciary duty. The case was settled for $325,000.
FINRA Suspension and Fine
According to an Acceptance, Waiver, and Consent agreement dated January 31, 2019, John Davenport consented to the findings that in late 2014 and early 2015, while registered with Securities America, he allegedly placed two securities transactions for a registered representative of another firm and split the commissions generated from the transactions with that representative, without the knowledge or consent of either firm and without reflecting the commission sharing on Securities America's books and records, in violation of FINRA Rules 4511 and 2010.
The findings further alleged that from October 2016 through October 2017, while registered with Liberty Partners Financial Services, John Davenport allegedly permitted his assistant to use a personal email address to communicate with securities customers concerning business-related matters, causing the firm to fail to retain the emails among its books and records, in violation of FINRA Rules 4511 and 2010.
FINRA Rules 4511 and 2010
FINRA Rule 4511 requires each member to make and preserve books and records in conformity with Section 17(a) of the Exchange Act and Exchange Act Rule 17a-3. A registered representative who falsifies firm records causes the firm to maintain inaccurate books and records in violation of FINRA Rule 4511.
Causing a FINRA-regulated broker-dealer to make or preserve inaccurate records also constitutes a violation of FINRA Rule 2010, which states that brokers must uphold high standards of commercial honor.
As part of the terms of the AWC, John Davenport consented to
- A two-month suspension
- A $20,000 fine
You can read the full copy of the AWC here.
On February 2, 2017, John Davenport discharged a bankruptcy.
In 2016, John Davenport became the subject of two tax liens totaling $1,165,351.
John Davenport has passed the following exams:
- Series 65 - Uniform Investment Adviser 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
He is a registered broker in four states: Connecticut, North Carolina, New York, and South Carolina.
Besides Liberty Partners Financial Services and Securities America, John Davenport has also worked with the following firms:
- Modern Capital Advisors (CRD#:131117)
- Securities America Advisors (CRD#:110518)
- FSC Securities Corporation (CRD#:7461)
- The Retirement Group (CRD#:148296)
- SII Investments (CRD#:2225)
- Davenport & Associates (CRD#:134355)
- Royal Alliance Associates (CRD#:23131)
- Prime Capital Services (CRD#:18334)
- Sunpoint Securities (CRD#:25442)
- Merrill Lynch, Pierce, Fenner & Smith Incorporated (CRD#:7691)
- Smith Barney(CRD#:7059)
- Descap Securities (CRD#:14997)
- College Retirement Equities Fund (CRD#:20472)
- Mony Securities Corp (CRD#:4386)
Kurta Law Can Help
If you have worked with John Davenport and have concerns about your investments, don't hesitate to contact us today at 877-600-0098 or firstname.lastname@example.org 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 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.