Investor Seeks $1.07 Million in Dispute with Karen Geiger

Karen Geiger (CRD #: 1456604), a broker registered with Cape Securities, allegedly committed several violations of securities laws, according to her BrokerCheck record, accessed on November 13, 2022. If you want to know more about her conduct as a broker, read on.

Investor Dispute

On August 26, 2022, an investor alleged that Karen Geiger engaged in the following misconduct from July 2015 to July 2017:

• Misrepresentation and omission of material facts
• Failure to perform due diligence
• Unsuitable investment recommendations
• Failure to supervise
• Fraudulent concealment
• Common law fraud
• Violations of Ohio securities laws
• Violations of federal securities laws
• Breach of contract
• Negligence and gross negligence

The client seeks $1.07 million in damages in this pending dispute.

FINRA Rule 2010

FINRA Rule 2010 holds brokers to high standards of commercial honor and just and equitable principles of trade.

FINRA Rule 2020

FINRA Rule 2020 forbids the use of deception, manipulation, and other fraudulent means of influencing the purchase and sale of securities. This includes the misrepresentation or omission of information, such as an investment’s requirements, lack of liquidity, or risks.

FINRA Rule 2111 and Regulation Best Interest

FINRA Rule 2111 defines suitable investments as securities that fit an investor’s profile.  An investor’s profile contains information about their age, risk tolerance, and financial goals.

FINRA Rule 3110

Failure to supervise violates FINRA Rule 3110, which requires that firms establish systems of supervision over their employees to ensure their compliance with securities regulations.

What is broker negligence?

Brokers may act in many negligent ways. Common examples include misrepresentations and omissions of material fact, unsuitable investment recommendations, and unauthorized trading.

Investors who feel their losses are the result of broker negligence may be able to recover their funds through FINRA arbitration.

Background Information

Karen Geiger 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

Karen Geiger is a registered broker in Florida and Ohio.

She has also worked for the following firms:

• Cape Investment Advisory (CRD#:146384)
• Advanced Strategies (CRD#:121343)
• Wall Street Strategies (CRD#:31268)
• Prosperity Capital Advisors (CRD#:156480)
• Regal Advisory Services (CRD#:123842)
• Regal Securities (CRD#:7297)
• USA Wealth Management (CRD#:122082)
• USA Advanced Planners (CRD#:131282)
• H&R Block Financial Advisors (CRD#:5979)
• Edward Jones (CRD#:250)
• McDonald Investments (CRD#:566)
• Key Investments (CRD#:15873)
• FirstMerit Securities (CRD#:35057)
• Vestax Securities Corporation (CRD#:10332)
• Travelers Equities Sales (CRD#:833)
• ManEquity (CRD#:5249)
• Integrated Resources Equity Corporation (CRD#:6403)
• IDS Marketing Corporation (CRD#:6363)

Kurta Law Can Help

If you worked with Karen Geiger 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.