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Written by 6:19 pm Broker Investigations, FINRA SEC Sanctions

Hector Hernandez Barred by FINRA 

Hector Hernandez Barred by FINRA featured by top securities fraud attorneys, the White Law Group

FINRA Bars Hector Hernandez after Allegations of Outside Business Activities 

According to public records, FINRA, the self-regulator that oversees brokers and brokerage firms, has reportedly barred financial advisor Hector Hernandez (CRD#: 4654126). 

Hernandez reportedly refused to appear for on-the-record testimony requested by FINRA in connection with its investigation into his potential failure to disclose an Outside Business Activity (OBA) while he was associated with his member firm, Money Concepts Capital Corp. 

According to his broker report, accessed on FINRA’s website, one of Hernandez’s former customers alleged “Unsuitability, breach of contract, violation of FINRA rules, annuity switches, and failure to disclose commission sharing arrangement with accountant in connection with products sold away from the firm.” 

Outside Business Activities – FINRA Rule 3270 

 The Financial Industry Regulatory Authority (FINRA) requires registered representatives to disclose any outside business activities (OBAs) to their member firm, which is the firm that employs them. FINRA Rule 3270 requires reps to provide prompt written notice to their member firm before engaging in any outside business activity.   

An Outside Business Activity (OBA) is defined as any business activity that a registered representative engages in that is not conducted on behalf of their member firm. Examples of OBAs can include consulting work, teaching, or even running a small business. The key distinction is that the activity is not related to the registered representative’s role at their member firm.  

Once a registered representative has disclosed their OBA to their member firm, the firm must evaluate the activity to determine whether it poses a conflict of interest with the registered representative’s duties to the firm or its customers. If the firm determines that there is a conflict, it may prohibit the registered representative from engaging in the activity. If the firm approves the activity, the registered representative must continue to disclose any material changes to the activity and receive ongoing approval from the firm. 

FINRA BrokerCheck Report – Hector Hernandez 

According to this FINRA BrokerCheck report, Hector Hernandez was affiliated with the following firms during his career, among others: 

12/22/2021 – 04/08/2022, PEAK BROKERAGE SERVICES, LLC (CRD#:157045), San Antonio, TX,
B, 07/18/2012 – 12/17/2021, MONEY CONCEPTS CAPITAL CORP (CRD#:12963), Shavano Park, TX
B, 10/09/2008 – 07/06/2012, NEXT FINANCIAL GROUP, INC. (CRD#:46214), SAN ANTONIO, TX 

According to FINRA, Hernandez has reportedly disclosed the following business activities, among others: Life settlement sales (Elicoins), insurance agent (HP Advisors, LLC), Real Estate (Cantrell Dr. Properties LLC). 

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.     

FINRA BrokerCheck provides investors with detailed information about the professional history, qualifications, and regulatory actions of brokers and brokerage firms. Investors can use the tool to verify whether a broker or brokerage firm is registered with FINRA, as well as to review their employment history, licensing status, and any regulatory actions or complaints filed against them.     

Potential FINRA Claims

If you have suffered losses investing with Hector Hernandez and Money Concepts Capital Corp., the securities attorneys at the White Law Group may be able to help you. For a free consultation with a securities attorney, please call (888) 637-5510.

The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm dedicated to helping investors in claims in all 50 states against their financial professional or brokerage firm. Since the firm launched in 2010, it has handled over 700 FINRA arbitration cases.

Our firm represents investors in all types of securities related claims, including claims involving stock fraud, broker misrepresentation, churning, unsuitable investments, selling away, and unauthorized trading, among many others.        

With over 30 years of securities law experience, The White Law Group has the expertise to help investors to recover their fraud losses.    For more information, please visit our website, www.whitesecuritieslaw.com.        



Tags: , , , Last modified: November 28, 2023