Jose Batalla Suspended After Allegedly Failing to Disclose Tax Lien
Jose Batalla (CRD #: 4140971), a broker registered with PFS Investments, has been suspended by FINRA for allegedly failing to disclose an unsatisfied federal tax lien in a timely manner. This is according to his BrokerCheck Record accessed on December 26, 2021.
According to an Acceptance, Waiver, and Consent agreement dated November 8, 2021, Jose Batalla consented to the findings that from August 2017 until January 2019, he failed to timely disclose an unsatisfied federal tax lien in the amount of $188,016.01 via the filing of an amended Uniform Application for Securities Industry Registration or Transfer (Form U4).
FINRA requires registered representatives to disclose unsatisfied judgments or liens on their Form U4. Specifically, Question 14M of Form U4 asks registered representatives, “Do you have any unsatisfied judgments or liens against you?” If a registered representative answers the question in the affirmative, they must also provide detailed information about each reportable event, including the amount and date of the judgment or lien.
According to FINRA, Jose Batalla received notice that the IRS had filed a tax lien against him in the amount of $188,016.01 on August 15, 2017. Although Jose Batalla was required to disclose the tax lien via the filing of an amended Form U4 within thirty days of receiving notice of its existence, he allegedly did not amend his Form U4 to disclose the lien until January 28, 2019. Therefore, Jose Batalla violated Article V, Section 2(c) of FINRA’s By-Laws and FINRA Rules 1122 and 2010.
Article V, Section 2(c) of FINRA’s By-Laws requires brokers to keep their Form U4 “current at all times.” FINRA Rule 1122 prohibits registered brokers from filing registration information that is incomplete or inaccurate.
Violations of Article V, Section 2(c) of FINRA’s By-Laws and FINRA Rule 1122 also constitute violations of FINRA Rule 2010, which requires associated persons to observe high standards of commercial honor and just principles in their business dealings.
As part of the terms of the AWC, Jose Batalla consented to
- A 20-day suspension from associating with any FINRA member in all capacities.
- A $5,000 fine
You can read a copy of the AWC here.
On August 17, 2017, Jose Batalla became the subject of a tax lien for $188,016.01.
Jose Batalla has passed the following exams:
- Series 63 – Uniform Securities Agent State Law Examination
- SIE – Securities Industry Essentials Examination
- Series 6 – Investment Company Products/Variable Contracts Representative Examination
- Series 26 – Investment Company Products/Variable Contracts Principal Examination
Jose Batalla is a registered broker in four states.
Other than PFS Investment, Jose Batalla has not worked with any other firm.
Kurta Law Can Help
If you have worked with Jose Batalla and have concerns about your investments, don’t hesitate to get in touch with us today at 877-600-0098 or email@example.com for a free consultation.
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