Woodbury Financial Services: Review of Regulatory History, Complaints & Lawsuits
Woodbury Financial Services (CRD#: 421 | SEC#: 801-54905, 8-13846), a long-established FINRA-registered broker-dealer based in Oakdale, Minnesota, has been under increased scrutiny in recent years. The firm, a subsidiary of Advisor Group, is among eight broker-dealers that rebranded as Osaic Wealth. While it has been registered with FINRA since 1968, Woodbury Financial Services has amassed 35 disclosures on its FINRA BrokerCheck report—including 24 regulatory events and 10 arbitrations.
This post explores the firm’s regulatory violations, customer complaints, and notable FINRA arbitration claims—offering investors insight into potential legal options for investment loss recovery.
SEC Sanctions Woodbury Financial for Recordkeeping Violations
September 28, 2023 – The U.S. Securities and Exchange Commission (SEC) sanctioned Woodbury Financial Services, ordering the firm to pay a $500,000 civil penalty for failing to preserve business-related electronic communications conducted on unauthorized messaging platforms.
Although Woodbury did not admit or deny the findings, the firm consented to a censure and agreed to retain an independent compliance consultant to improve its supervisory systems.
These recordkeeping failures violate federal securities laws and are part of broader industry-wide enforcement actions regarding off-channel communications.
Broker Alert: Brian Marston – Six Customer Disputes
Brian Marston (CRD#: 733083) was affiliated with Woodbury Financial Services from 2006 to 2023. According to FINRA BrokerCheck, Marston has six customer disclosures, including three pending customer disputes filed between 2023 and 2025. The complaints reportedly involve allegations of unsuitable alternative investments—a frequent area of concern for investors.
These types of claims often arise when financial advisors recommend complex, illiquid, or high-commission products that are inappropriate based on the investor’s financial goals or risk tolerance.
Regulatory Actions Against Woodbury Financial Services
- November 2022 – GPB Capital Disclosure Failures: Woodbury and three other firms failed to inform investors about missed SEC filings. The firm was fined $55,000 and ordered to pay $300,224.98 in restitution.
- July 2019 – Supervisory System Failures: Woodbury agreed to a $225,000 fine for failing to supervise additions to variable annuities.
- July 2018 – Failure to Supervise Variable Annuities: FINRA censured and fined the firm $250,000 for inadequate training on multi-share class variable annuities.
- May 2012 – Failure to Monitor Excessive Trading: Woodbury was fined $45,000 for quantitative suitability violations.
- January 2012 – Wire Transfer Supervision Failures: The firm was fined $75,000 after a rep converted nearly $1 million from clients.
Broker Misconduct Cases Involving Woodbury Financial Representatives
Ronald Hannes – Indicted in 2022 for allegedly misappropriating $2.9 million from investors in fake bond schemes. Barred by FINRA in 2020. Stephen Douglas Fry – Barred in 2019 after using a client’s funds via power of attorney. Charged in 2020 for allegedly stealing over $1.3 million. Kevin Wanner – Barred and sentenced in 2019 for a $3 million Ponzi scheme that defrauded 66 investors. Woodbury paid $600,000 in restitution in 2018.
Woodbury Financial Services Lawsuits and FINRA Arbitration Awards
June 2018 – A FINRA panel ordered Woodbury to pay $1.1 million to two customers for failure to supervise broker Robert Hayes Hoffman. The panel found the firm breached fiduciary duty and sold unsuitable investments.
Understanding Your Legal Options – FINRA Arbitration
If you suffered investment losses due to unsuitable investment recommendations, broker fraud, or failure to supervise, you may be able to recover losses through FINRA arbitration.
The White Law Group has represented thousands of investors in FINRA claims across the country and can help you evaluate your potential claim.
Free Consultation with a Securities Fraud Attorney
If you have concerns about investments made through Woodbury Financial Services or losses involving brokers like Brian Marston or Ronald Hannes, contact The White Law Group at 888-637-5510 for a free consultation.
Our firm is dedicated to helping investors recover losses from unsuitable investments, misrepresentation, and fraudulent financial practices.
About The White Law Group
The White Law Group is a national securities fraud, FINRA arbitration, and investor protection law firm with offices in Chicago, Illinois and Seattle, Washington. Our attorneys have decades of experience representing investors in claims against brokerage firms, including Woodbury Financial Services. For more information, visit www.whitesecuritieslaw.com.
FAQs
Can I sue Woodbury Financial Services for investment losses?
If you suffered losses due to unsuitable investments or broker misconduct, you may be eligible to file a claim through FINRA arbitration, not a traditional lawsuit.
What types of investments are commonly involved in disputes with Woodbury brokers?
Investments such as non-traded REITs, variable annuities, and alternative investments like GPB Capital are frequently cited in complaints.
How do I check if my Woodbury broker has complaints?
You can search your broker’s disciplinary history through FINRA’s BrokerCheck or contact our office for help evaluating your broker’s record.
Tags: broker-dealer review, Woodbury Financial Services Last modified: August 6, 2025
