Illinois Sanctions Former LPL Financial Broker Sharif Azmi Sharif Over Private Crypto Investments
The White Law Group is investigating potential securities claims involving Sharif Azmi Sharif and the liability his employers may have for failure to properly supervise him.
Sharif Azmi Sharif (CRD#: 2343413), a former LPL Financial broker based in Elmhurst, Illinois, has reportedly been sanctioned by both FINRA and the State of Illinois for alleged violations involving private securities transactions. According to public records, Sharif has 27 years of industry experience and four disclosures on his record, including a FINRA suspension, a state regulatory action, a customer complaint, and a termination from his firm.
FINRA Sanctions: Private Crypto Investment Activity
According to FINRA’s Letter of Acceptance, Waiver, and Consent (AWC No. 2022076175701), issued on June 11, 2024, Sharif participated in private securities transactions without providing prior written notice to his firm, in violation of FINRA Rules 3280 and 2010.
FINRA found that Sharif, along with a business partner, was a founding investor and employee in a crypto asset mining company. In February 2022, Sharif and his partner reportedly held a video call with several LPL Financial customers to discuss investing in the venture. The investors collectively invested approximately $900,000 in securities known as SAFEs (Simple Agreements for Future Equity).
These funds were intended to finance the purchase of cryptocurrency mining equipment. However, FINRA alleged that Sharif failed to notify LPL Financial about his participation in these private transactions.
As a result of the AWC, Sharif was fined $5,000 and suspended for nine months from associating with any FINRA member in any capacity. His suspension runs from July 1, 2024, through March 31, 2025.
Illinois Seeks to Revoke Registration
Following the FINRA action, the State of Illinois Department of Securities initiated its own regulatory proceeding in February 2025. The state’s complaint seeks to revoke Sharif’s investment adviser registration based on the findings of the FINRA AWC.
The Illinois order notes that Sharif violated securities industry conduct rules by participating in unapproved outside business activities and private securities transactions while acting as an investment adviser.
LPL Financial Termination and Customer Complaint
Sharif was discharged from LPL Financial in December 2022 following allegations of “inadequate disclosure of outside business activity” and “participation in private investments without notice to the firm.”
Additionally, in July 2022, a customer dispute involving Sharif was settled for $500,000, alleging unsuitability and misrepresentation related to a private placement investment. According to FINRA records, Sharif denied any wrongdoing and stated the settlement was made “without any admission of liability.”
Understanding Your Options: LPL Financial Lawsuit and Investor Recovery
The FINRA findings and Illinois sanctions against Sharif Azmi Sharif raise questions for former clients of LPL Financial who may have suffered investment losses due to unsuitable or unapproved private securities recommendations.
If you invested with Sharif Azmi Sharif or LPL Financial and have concerns about your portfolio or potential losses, you may be eligible to file a FINRA arbitration claim to recover your damages.
Brokerage firms such as LPL Financial have a duty to supervise their financial advisors and to ensure that all investment recommendations are suitable and properly disclosed. When brokers engage in unapproved private securities transactions (“selling away”), their firms can be held liable for investor losses.
Filing a Complaint or Claim
If you believe that you have suffered losses investing with Sharif Azmi Sharif, or if you were recommended risky or unsuitable crypto-related or private placement investments, you may have grounds for a FINRA arbitration lawsuit against LPL Financial.
The White Law Group represents investors nationwide in claims against brokerage firms for securities fraud, negligence, and failure to supervise.
Free Consultation with a Securities Attorney
For a free consultation with a securities attorney, please call The White Law Group at (888) 637-5510 or visit www.whitesecuritieslaw.com.
FAQs about Sharif Azmi Sharif, LPL Financial, and Investor Claims
Can I sue LPL Financial for investment losses with Sharif Azmi Sharif?
Yes. If you invested with LPL Financial or Sharif Azmi Sharif and suffered financial losses due to unsuitable investments or unauthorized private offerings, you may be able to file a FINRA arbitration claim to recover damages. Brokerage firms can be held responsible for failing to properly supervise their advisors or detect unapproved outside business activities.
What is “selling away” in securities law?
“Selling away” occurs when a financial advisor sells investments that are not approved by their brokerage firm, often involving private placements, promissory notes, or alternative assets. This can expose investors to significant risk, and if losses occur, the brokerage firm may be liable for failing to supervise the broker’s conduct.
How can The White Law Group help investors recover losses?
The White Law Group represents investors nationwide in FINRA arbitration claims involving broker misconduct, investment fraud, and unsuitable recommendations. The firm investigates claims against brokers like Sharif Azmi Sharif and their firms, including LPL Financial, to help investors recover their investment losses through arbitration or negotiated settlements.
