David Kangas Complaints | WealthForge Securities FINRA Claims
If you’ve suffered losses investing with David Kangas and WealthForge Securities you may have recovery options. Here’s what’s on his FINRA record and what your options may be as an investor in WealthForge Securities DST offerings. Learn more about the FINRA arbitration process below.
Who Is David Kangas of WealthForge Securities?
David Kangas (CRD #6591398) is a broker registered with WealthForge Securities, LLC out of Richmond, Virginia, where he has worked since 2019. He also spent under a year registered with Cabot Lodge Securities in 2019 and was previously with Sandlapper Securities from 2016 to 2019, giving him 10 years in the industry. FINRA BrokerCheck lists four pending customer disputes on his record: three tied to 1031 exchanges into Delaware Statutory Trusts (DSTs) and one tied to a notes offering.
Four Pending Complaints Against David Kangas
The most recent complaint, filed April 2, 2026, seeks $1,000,000 in damages tied to a 2022 transaction. The investor alleges negligence, lack of suitability, fraud, lack of due diligence, misrepresentation, failure to supervise, omitting material facts, breach of contract, and breach of fiduciary duty after rolling sale proceeds from a property into nine DST offerings covering 53 underlying properties. In his response included in the disclosure, Kangas says a management change at one sponsor was followed by rising insurance, tax, and maintenance costs that led the DST to reduce and later suspend distributions, and states the original management has since been reinstated by court order with no loss of principal.
A second complaint, served March 16, 2026 and seeking $150,000, involves an April 2022 exchange into four DST offerings. The investor alleges negligence, lack of suitability, fraud, lack of due diligence, misrepresentation, omitting material facts, breach of contract, and breach of fiduciary duty. Kangas’s response attributes the DSTs’ performance to broader inflation and rising interest rates rather than the recommendation itself, and states the investments remain within their hold periods with no principal loss to date.
A third complaint, filed March 2, 2026 and seeking $300,000, is different from the others: it involves a 24-month notes offering rather than a DST, tied to a September 2023 investment. The investor alleges negligence, lack of suitability, fraud, lack of due diligence, misrepresentation, omitting material facts, breach of contract, and breach of fiduciary duty after the notes sponsor stopped making interest payments partway through the term.
A fourth complaint, filed October 21, 2025 over a September 2021 investment, alleges fraud, lack of suitability, misrepresentations and omissions, negligence, breach of fiduciary duty, and breach of contract. No damage amount is listed in the disclosure. Like the April 2026 complaint, it involves a 1031 exchange into nine DST properties and describes a similar pattern: a sponsor management change followed by rising costs that reduced and suspended distributions on three of the nine properties, with Kangas’s response again noting no loss of principal and a court-ordered return of the original management team.
Combined, the four pending complaints allege at least $1.45 million in investor losses. FINRA has not ruled on any of them, none of the allegations have been proven, and Kangas remains registered with WealthForge Securities.
The Risks of DST Private Placements
Three of the four complaints against Kangas center on Delaware Statutory Trust investments sold through 1031 exchanges, a product The White Law Group has written about at length. DSTs are illiquid and difficult to exit before the trust’s target hold period ends, and investors have no say in how the underlying property is managed once they buy in. Distributions aren’t guaranteed and can be reduced or suspended if the real estate underperforms or costs rise, which is what several of the complaints against Kangas describe. Brokers who recommend DSTs also tend to earn high commissions, which can create an incentive to sell them regardless of whether they fit a particular investor’s goals. For a full breakdown, see our guide on 1031 DST investments.
Can WealthForge Securities Be Held Responsible?
WealthForge Securities, as the broker-dealer of record, had a duty to conduct reasonable due diligence on the DST offerings it approved for sale and to supervise Kangas’s recommendations to make sure they fit each investor’s goals. If the firm failed to catch unsuitable recommendations or approved DST offerings without adequate review, it may be liable for failing to supervise, separate from any personal liability Kangas has. Investors don’t need to prove the firm knew about a specific bad recommendation to bring a claim against it.
Frequently Asked Questions
How do I file a claim to recover money invested through David Kangas or WealthForge Securities?
Most brokerage account agreements typically include a pre-dispute arbitration clause, so claims against a broker or firm are usually filed and resolved through FINRA arbitration rather than in court. Arbitration can still result in a monetary recovery for investors who can show their DST investment was unsuitable or misrepresented.
What does it mean for a DST investment to be “unsuitable”?
An investment is unsuitable when it doesn’t match an investor’s stated goals, risk tolerance, time horizon, or liquidity needs, even if the product itself isn’t fraudulent. DSTs are illiquid and carry real estate market risk, so recommending one to an investor who needs quick access to cash or can’t absorb a loss of income may be considered unsuitable.
Can WealthForge Securities be held responsible for my losses, even if it didn’t personally recommend the investment?
Yes. Broker-dealers have an ongoing duty to supervise their registered representatives and to vet the products they allow those representatives to sell. If WealthForge approved DST offerings without adequate due diligence or failed to catch a pattern of unsuitable recommendations, the firm can be held liable for failing to supervise, in addition to any claim against Kangas individually.
Contact The White Law Group
If you invested in a DST or other private placement through David Kangas or WealthForge Securities and lost money, contact The White Law Group. We are national securities fraud attorneys with offices in Chicago and Seattle who represent investors in FINRA arbitration claims against brokers and brokerage firms. Call us at (888) 637-5510 for a free consultation, or reach us through our contact page.
