Brokerage Firm Alert: Our Investment Fraud Attorneys Are Investigating Independent Financial Group, LLC
Did You Lose Money Because of Independent Financial Group? Are You Aware of Complaints and Fines Against Independent Financial Group?
Updated on: December 21, 2023
Independent Financial Group, Inc. (“Independent Financial Group, IFG Financial Group”) (CRD # 7717) is a broker-dealer and has been the subject of at least twelve (12) complaints filed by regulatory organizations like FINRA and many more by investors like yourself. At Patil Law, we have investigated Independent Financial Group, its regulatory complaints and fines, and its customer complaints. If you’ve invested your hard-earned money with Independent Financial Group, you should be very concerned about any regulatory actions, regulatory fines, or customer complaints against your brokerage firm.
Our team of attorneys specialize in representing investors with claims of fraud, negligence, and breach of fiduciary duty against this organization and its financial advisors. As an investor, you may be entitled to compensation for losses accrued due to mismanagement of your investments.
If you believe you have a claim against Independent Financial Group, you should strongly consider hiring an investment fraud lawyer and not wait until it’s too late to file a claim. Reach out to our legal team via the secure and private online form or call our firm directly toll-free at 1-800-950-6553 for a free consultation so that we can discuss your case and see what we can do to help you get the compensation you need and deserve. We do not charge anything for the ability to discuss your matter and evaluate your potential case.
Jump to Topic
Do I Have an Investment Fraud Case Against Independent Financial Group?
Who is Independent Financial Group?
How To File a Claim Against Independent Financial Group To Get Your Money Back
Client Complaints – Is Your Financial Advisor on This List?
Did Misconduct By an Independent Financial Group Advisor Impact Your Investments? What Can You Do?
Independent Financial Group Has Many Regulatory Complaints and Fines
A Closer Look Into Independent Financial Group’s Regulatory Issues
Next Steps and Free Consultation with Our Legal Team
Do I Have an Investment Fraud Case Against Independent Financial Group?
✅ YES, if you’ve experienced financial losses due to the actions or misconduct of Independent Financial Group or its staff, you have the right to pursue legal action against them. You can sue Independent Financial Group but the odds are you signed away your right to sue in court and agreed to resolve your dispute in a FINRA arbitration proceeding.
FINRA arbitration proceedings are generally private proceedings that can last anywhere from a few months to approximately a year. Our attorneys have personal experience in representing clients in FINRA arbitration proceedings and know very well how you can not only sue Independent Financial Group in FINRA arbitration proceedings, but WIN that arbitration. The easiest way to know if you have a case against Independent Financial Group is to reach out to our legal team at Patil Law via the secure and private online form or call us toll-free at 1-800-950-6553 for a complimentary consultation.
Who is Independent Financial Group?
Independent Financial Group (CRD # 7717) is a registered broker-dealer. It operates as a full-service independent broker-dealer, providing a range of financial products and services to individual investors and financial advisors. As a registered broker-dealer, Independent Financial Group is subject to regulations and oversight by the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA).
It is required to comply with industry standards and regulations to ensure the protection of its clients’ interests. A failure to comply with industry standards by either its brokers or the firm itself can result in disciplinary actions, fines, or other penalties imposed by regulatory authorities.
How To File A Claim Against Independent Financial Group To Get Your Money Back
If you have questions about Independent Financial Group, its advisors, or the management or performance of your accounts, please contact our legal team at Patil Law via the secure and private online form or call us toll-free at 1-800-950-6553 for a free and complimentary initial consultation. Our attorneys have experience handling well over a thousand securities arbitration claims, and our law firm has successfully recovered over $25 million for our clients to date.
We understand the stress that comes along with realizing that your financial advisor or brokerage firm has made poor decisions with your money. We can help you, as we have helped hundreds of other clients in the past.
Client Complaints – Is Your Financial Advisor on This List?
There have been scores of customer complaints filed against Independent Financial Group stockbrokers and investment advisors over the years. Many of these complaints deal with financial advisor misconduct, poor or unsuitable investment recommendations, failure by these brokerage firms to supervise their employees (the financial advisors), and general fraud against consumers. We have launched many investigations of current and former Independent Financial Group advisors:
- Daniel Loy with Independent Financial Group
- Joyce An Thomas with Independent Financial Group (previously with Voya Financial Advisors and Legacy Financial Services)
- Syauching “June” Hung with Independent Financial Group (previously with Voya Financial Advisors and Legacy Advisory Services)
- James Franklin with Independent Financial Group (previously with Cetera Advisor Networks and 1st Global Advisors)
- Mark Militello with Independent Financial Group (previously with Cetera Advisor Network and Girard Securities)
- John Dixon with Independent Financial Group (previously with LPL Financial and Bancwest Investment Services)
Did Misconduct By an Independent Financial Group Advisor Impact Your Investments?
If you have lost money investing with any of these Independent Financial Group advisors or others within this brokerage firm, it’s important that you reach out to an investment loss attorney quickly because the statutes of limitations can bar your claims. Call our legal team at Patil Law toll-free at 1-800-950-6553 or reach out to us via the secure and private online form for a free initial consultation.
Independent Financial Group Has Many Regulatory Complaints and Fines
There have been approximately twelve (12) state and self-regulatory body disclosure events against Independent Financial Group; that is, final and formal proceedings initiated by a regulatory authority like the U.S. Securities and Exchange Commission (SEC) or self-regulatory body like the Financial Industry Regulatory Authority (FINRA) for a violation(s) of investment-related rules or regulations. In addition, there have been countless customer complaints filed against Independent Financial Group for misconduct by its securities sales and investment advisory representatives that are not reported by the firm on its Central Depository Record.
Our legal team at Patil Law has reported and written about these regulatory problems and customer complaints over many years. A few of the notable FINRA Sanctions for its Supervisory Failures are below.
A Closer Look Into Independent Financial Group’s Regulatory Issues
Independent Financial Group has been repeatedly censured, warned, and fined for its own misconduct and failure to supervise its army of financial advisors. Details of twelve (12) regulatory issues are listed below:
Fined $200,000 for Alleged Supervisory Failures Allowing a Representative to Make Unsuitable Recommendations to Customers (AWC No. 2018059223401)
Overview from FINRA’s Disciplinary Office:
From January 2008 through March 2016, IFG failed to reasonably supervise one of the firm’s former registered representatives (“RR 1”) who made unsuitable recommendations to customers. RR 1 recommended that his customers concentrate their retirement assets and liquid net worth in speculative and illiquid securities. IFG became aware of red flags indicating that RR 1 was making unsuitable recommendations to his customers yet the firm failed to take reasonable actions to investigate and stop the misconduct.
By reason of the foregoing, IFG violated NASD Rule 3010 and FINRA Rules 3110 and 2010.
Fined $5,000 for Alleged Violation of the Insurance Code of The State of California (Docket/Case Number: PLBS-15471-A)
Overview from FINRA’s Disciplinary Office:
On September 27, 2023 California Department of Insurance Department noted we were in violation of the Insurance Code of the State of California. Independent Financial Group, LLC entered into stipulation and waiver with the insurance commissioner of the State of California.
Fined $1,000 for Alleged Supervisory Failures In Submitting a Report On Time (Docket/Case Number: CSB – 2021-01440997)
Overview from FINRA’s Disciplinary Office:
Section 2110(a)(4) of the insurance law in that they failed to report to the department, within thirty days of the final disposition of administrative actions taken against respondent Independent Financial Group Inc. by the State of South Dakota, Department of Labor and Regulation, Division of Insurance, effective July 22, 2020, and by the Texas State Securities Board, effective April 1, 2021, in violation of Insurance Law Section 2110(I).
Fined $500 for Alleged Supervisory Failures In Timely Reporting a BD Disclosable Event (Docket/Case Number: 21064-AG22-0118-010)
Overview from FINRA’s Disciplinary Office:
On November 4, 2021 Indiana Department of Insurance noted the firm failed to timely report a BD disclosable event to NIPR within 30 days. The Department noted a violation of Indiana Code §§ 27-1-15.6-12(b)(2)(a) & 27-1-15.6-12(b)(8)
Fined $75,000 for Alleged Supervisory Failures In Overseeing Representatives (Docket/Case Number: IC21-CAF-01)
Overview from FINRA’s Disciplinary Office:
From February 2016 through April 2017, an investment adviser representative (IAR) formerly affiliated with respondent traded in non-traditional exchange-traded funds (“non-traditional ETFs”) in certain client accounts. Specifically, the representative implemented a buy-and-hold strategy using UVXY, a leveraged inverse ETF designed for short-term use and incurred significant losses as a result. During this time, respondent failed to have specific training requirement regarding non-traditional ETFs, failed to have a supervisory system in place to monitor and flag for extended holding periods related to leveraged ETFs and failed to prevent the representative from purchasing more than 2x leveraged ETFs in clients accounts at a time when the representative was not approved to purchase them. Accordingly, to resolve an investigation by the staff of the Texas State Securities Board, respondent has agreed to refund $276,398.42 to customers as well as pay an administrative fine in the amount of $75,000 for its failure to have a reasonable supervisory system in place.
Fined $18,750 for Alleged Supervisory Failures In Reviewing Outside Business Activity Requests From A Former Registered Agent (Docket/Case Number: 1013886)
Overview from FINRA’s Disciplinary Office:
IFG failed to properly review and/or evaluate the outside business activity request filed by a former registered agent of IFG, regarding the sale of an unregistered security in violation of SDCL 47-31B-102, 47-31B-301, 47-31B-412, FINRA Rule 3270, and ARSD 20:08:03:06; IFG failed to properly supervise, document, and/or retain records of registered rep’s outside securities transactions.
Fined $1,250,386.58 for Allegedly Breaching Fiduciary Duties and Insufficient Disclosures Regarding Mutual Fund Share Class Selection Practices (Docket/Case Number: 3-19550)
Overview from FINRA’s Disciplinary Office:
SEC IA Release 40-5383, September 30, 2019: The Securities and Exchange Commission deems it appropriate and in the public interest that public administrative and cease-and-desist proceedings be instituted against Independent Financial Group, LLC (“respondent”). On the basis of this order and respondent’s offer, the Commission finds that these proceedings arise out of breaches of fiduciary duty and inadequate disclosures by the respondent in connection with its mutual fund share class selection practices and the fees it received. At times during the relevant period, respondent purchased, recommended, or held for advisory clients mutual fund share classes that charged 12B-1 fees instead of lower-cost share classes of the same funds for which the clients were eligible. Respondent received 12B-1 fees in connection with these investments. Respondent failed to disclose in its form ADV or otherwise the conflicts of interest related to (a) its receipt of 12B-1 fees, and/or (b) its selection of mutual fund share classes that pay such fees. During the relevant period, respondent received 12B-1 fees for advising clients to invest in or hold such mutual fund share classes. As a result of the conduct, respondent willfully violated Section 206(2) of the Advisers Act.
Fined $35,000 for Alleged Supervisory Failures Allowing Representatives to Make Materially Untrue Statements Or Omit Facts (Docket/Case Number: SEC-2013-00029)
Overview from FINRA’s Disciplinary Office:
Independent Financial Group, LLC (“IFG”) agents James Crawford (“Crawford”) and Neal Woodard (“Woodard”), violated § 13.1-502 (2) of the Act by making materially untrue statements or omissions of fact in the offer and sale of securities. IFG allowed Crawford and Woodard to violate Rule 21-VAC 5-20-280A (3) by recommending to some of their clients the purchase of alternative investments without reasonable grounds to believe that the recommendation was suitable for their clients based upon reasonable inquiry concerning their client’s investment objectives, financial situation, risk tolerance and needs, and any other relevant information known by the broker-dealer. In addition, IFG failed to adequately train Crawford and Woodard and failed to implement adequate compliance procedures to track and monitor the alternative investment sales activates of Crawford and Woodard, in violation of Rules 21 VAC 5-20-260 B and 21 VAC 5-20-260 D.
Fined $1,000 for Allegedly Operating an Unlicensed Branch Office In Nevada (Docket/Case Number: CI11-063-ST)
Overview from FINRA’s Disciplinary Office:
That during the time period of July 30, 2010 through August 8, 2011 Independent Financial Group, LLC operated a branch office in the State of Nevada, other than the principal office, without the benefit of being licensed pursuant NRS 90.360 (2) and (3).
Fined $3,000 for Allegedly Operating Without Registration And Lying On A Registration Application
Overview from FINRA’s Disciplinary Office:
Hagerty, Stewart & Associates, Inc. engaged in securities business in North Dakota while not registered in North Dakota. Additionally, the firm submitted a false affidavit in connection with their application to be registered in North Dakota, stating that they have not done any business in North Dakota.
Fined $5,000 for Allegedly Conducting A Securities Business Without Meeting The Required Net Capital (Docket/Case Number: C02000022)
Overview from FINRA’s Disciplinary Office:
05/31/00GS: NASD Rule 2110 – Net Capital Violation – Conducted a Securities business while failing to maintain minimum required net capital.
Fined $2,500 for Alleged Insufficient Net Capital While Conducting Securities Business (Docket/Case Number:C02980088)
Overview from FINRA’s Disciplinary Office:
Alleged that broker dealer acting through control affiliates failed to have and maintain sufficient net capital while conducting a securities business as of December 31, 1995, January 31, 1996 and February 29, 1996 in violation of Conduct Rule 2110.
Next Steps and Free Consultation with Our Legal Team
If you have questions about Independent Financial Group, its advisors, or the management or performance of your accounts, please contact our team at Patil Law toll-free at 1-800-950-6553 for a free initial consultation. Or please reach out to us through our secure and private contact form and we will call you back quickly to discuss your case.
Our attorneys have experience handling well over a thousand securities arbitration claims, and our law firm has successfully recovered over $25 million for our clients to date. We understand the stress that comes along with realizing that your financial advisor or brokerage firm has made poor decisions with your money.
We can help you, as we have helped hundreds of other clients in the past. We are happy to serve you as well as to provide you with a custom report of your advisor’s and your brokerage firm’s complaints.