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FINRA Suspends Larry Norton for Alleged Unapproved Private Securities Transactions

May 24, 2023 FINRA Suspension

Larry Norton (CRD #: 1765551), a broker formerly registered with PFS Investments, was recently suspended by FINRA, according to his BrokerCheck record, accessed on May 18, 2023. If you have questions about his alleged conduct as a broker, keep reading.

FINRA Suspension

On April 3, 2023, Larry Norton consented to the entry of findings that he allegedly failed to provide prior written notice to PFS Investments before executing a series of private securities transactions between March 2020 and May 2021.

According to a Letter of Acceptance, Waiver & Consent (AWC), Larry Norton allegedly invested a total of approximately $138,000 in investment contracts offered by Company A. This company allegedly claimed to be an invoice factoring company that purchased the accounts receivable of other companies.

The AWC alleges that he made these investments by entering into 14 separate “Funding Partner” agreements under which Company A would acquire accounts receivable solely for his account and generate 12-25% returns on his investments.

However, he allegedly did not provide PFS Investments with written notice before entering these contracts. He allegedly also indicated on firm compliance questionnaires in 2020 and 2021 that he had not and did not intend to engage in a private securities transaction.

The AWC concludes that these allegations constitute violations of FINRA Rules 3280 and 2010.

FINRA Rule 3280

FINRA Rule 3280 requires brokers to seek approval from their firm before engaging in private securities transactions.

FINRA Rule 2010

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


Larry Norton consented to the following sanctions:

  • $5,000 fine
  • 30-calendar day suspension

His suspension began on May 1, 2023, and will end on May 30, 2023.

You can read a copy of the AWC here.

Background Information

Larry Norton 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

Larry Norton is a registered broker in seven states.

Kurta Law Can Help

If you worked with Larry Norton and you have concerns about your investments, please contact us today at 877-600-0098 or 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.