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Mark Beloyan Subject to FINRA Investigation, Sales Practice Violations Alleged

Mar 18, 2022 Excessive Trading

Mark Beloyan (CRD #:1392748), a broker previously registered with Tradespot Markets Inc., is currently subject to a FINRA investigation regarding an alleged failure to prevent money laundering and is also facing allegations of sales practice violations, according to his BrokerCheck record, accessed on March 8, 2022. Keep reading if you have questions about Mark Beloyan’s conduct as a broker.

FINRA Investigation

Since May 13, 2021, Mark Beloyan has been the subject of a FINRA investigation. The FINRA investigation alleges a failure of an AML (Anti-Money Laundering) Compliance Program and failure to establish, maintain and enforce supervision systems. FINRA Rule 3310 describes the Anti-Money Laundering compliance program and requires that member firms have controls in place to prevent money laundering. FINRA Rule 2010 requires that registered members of financial firms observe high standards of commercial honor and just and equitable principles of trade.

Alleged Sales Practice Violations

An investor dispute dated November 8, 2021, alleges multiple sales practice violations by Mark Beloyan. The former client alleged that Mark Beloyan allegedly churned their account and failed to supervise. He also allegedly engaged in negligent misrepresentation. The investor is seeking to recover $103,366.26; the dispute is pending.

FINRA Rule 2111 prohibits excessive trading, also known as churning. Churning occurs when a broker makes too many trades to financially benefit the investor.

Failure to supervise is a violation of FINRA Rule 3110, which requires firms and registered members to have systems in place to supervise securities transactions to ensure compliance with applicable securities laws. FINRA Rule 2020 prohibits manipulative, deceptive, or fraudulent actions related to the purchase or sale of securities - including negligent misrepresentation.

Additional FINRA Regulatory Actions

On May 4, 2016, Mark Beloyan consented to the findings of FINRA that he allegedly failed to execute transactions in penny stocks in conformity with the penny stock rules, and also failed to complete forms and date documents accurately. Mark Beloyan was suspended from association with any FINRA member for 50 days.

In light of Mark Beloyan’s financial status, no monetary sanction was imposed. You can read a copy of the AWC here.

Background Information

Mark Beloyan has passed the following exams:

  • Series 63 - Uniform Securities Agent State Law Examination
  • SIE - Securities Industry Essentials Examination
  • Series 7 - General Securities Representative Examination
  • Series 4 - Registered Options Principal Examination
  • Series 27 - Financial and Operations Principal Examination
  • Series 24 - General Securities Principal Examination

He has worked for the following firms:

  • Tradespot Markets, Inc. (CRD #: 29683)
  • Corporate Securities Group, Inc. (CRD #: 11025)
  • Sunpoint Securities, Inc. (CRD #: 25442)
  • Escalator Securities, Inc. (CRD #: 16985)
  • Rutherford, Brown and Catherwood, Inc. (CRD #: 10306)

Kurta Law Can Help

If you have worked with Mark Beloyan and have concerns about your investments, don't hesitate to contact us today at 877-600-0098 or info@kurtalawfirm.com 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.