Regulators Bar Sanford Simmons, Jr. after Allegations of Unsuitable Investments
According to the Financial Industry Regulatory Authority (FINRA), the securities regulator has reportedly barred financial advisor Sanford “Sandy” Simmons Jr. (CRD#: 1018907) from working as a broker as of 10/17/2024.
Simmons reportedly refused to appear for on-the-record testimony requested by FINRA in connection with an ongoing investigation that originated from a cause examination.
In September 2024 and again in October 2024, two customers reportedly filed separate complaints against Simmons alleging “Breach of its duties and obligations to Claimant in connection with a recommendation to invest in several real estate-based Regulation D private placements.”
Reg D Private Placements
Real estate private placement investments are complex and not suitable for all investors. They carry significant risks, including:
- Illiquidity: These investments are long-term and may be difficult to sell.
- High Fees & Commissions: Brokers and advisors may earn more than 9% in commissions and fees, which can impact investor returns.
- Potential for Loss of Principal: Market volatility or poor real estate performance can lead to substantial losses.
FINRA BrokerCheck: Sanford Simmons Jr.
The FINRA BrokerCheck tool is a free online tool that allows investors to research and verify the background and credentials of financial brokers, brokerage firms, and investment advisors registered with FINRA.
According to his FINRA BrokerCheck report, Sanford “Sandy” Simmons Jr. was reportedly registered with sixteen firms during his thirty-nine years in the securities industry. His report indicates that he has two complaints filed against him, an employment separation, and a financial disclosure. He was affiliated with the following firms during his career, among others:
01/03/2023 – 10/02/2024 SAXONY SECURITIES, INC. (CRD#:115547) Castle Rock, CO
03/22/2021 – 12/31/2022 PATRICK CAPITAL MARKETS, LLC (CRD#:16518) Castle Rock, CO
02/08/2021 – 03/23/2021 COLORADO FINANCIAL SERVICE CORPORATION (CRD#:104343) CENTENNIAL, CO
04/03/2020 – 01/04/2021WEALTHFORGE SECURITIES, LLC (CRD#:152550) San Clemente, CA
06/01/2018 – 04/01/2020 PATRICK CAPITAL MARKETS, LLC (CRD#:16518) San Clemente, CA
Failure to Supervise
All broker-dealers have a responsibility to adequately supervise their advisors. They must ensure they have procedures and systems in place to detect broker misconduct. Brokerage firms that fail to monitor the business activities of their employees may be liable for investment losses due to negligent supervision for the misconduct of their employees.
When brokers violate securities laws, such as making unsuitable investments, the brokerage firm they are working with may be liable for investment losses through FINRA Arbitration.
Class Action Lawsuit vs. Individual FINRA Arbitration Lawsuit
You may wonder whether a large class action lawsuit is a better litigation option than an individual FINRA arbitration case. The answer depends on many factors, but typically if the loss sustained is large (say larger than $100,000), an individual arbitration claim is likely a better option. Class action lawsuits as a recovery option are more appropriate for grouping large numbers of individuals who have small claims – too small to generally pursue individually.
Sanford Simmons, Jr. – FINRA Lawsuits
If you have suffered investment losses with Sanford “Sandy” Simmons Jr., the securities attorneys at the White Law Group may be able to help you by filing a FINRA lawsuit. Please call our offices at (888) 637-5510 for a free consultation. We take cases in all 50 states including Colorado and California.
National Securities Attorneys
The White Law Group, LLC is a national law firm in securities fraud, securities arbitration, investor protection, and securities regulation and compliance. With offices in Chicago, Illinois and Seattle, Washington, the firm is dedicated to assisting investors across all 50 states with claims against their brokerage firms. Since its founding in 2010, The White Law Group has handled over 800 FINRA arbitration cases.
Last modified: April 21, 2025
