FINRA

Respondent Oakes failed to comply with an arbitration award or settlement agreement or to satisfactorily respond to a FINRA request to provide information concerning the status of compliance.

Letter

Suspension

All capacities

Indefinite

Continues until required payment is made or discharged.

9/5/2019

Pursuant to Article VI, Section 3 of FINRA By-Laws, and FINRA Rule 9554, Respondent Oakes is suspended on September 5, 2019 for failure to comply with an arbitration award or settlement agreement or to satisfactorily respond to a FINRA request to provide information concerning the status of compliance.

FINRA

Without admitting or denying the findings, Oaks consented to the sanction and to the entry of findings that he refused to appear for FINRA on-the-record testimony during the course of an investigation initiated by FINRA after it received several complaints by customers of Oaks claiming that he had recommended unsuitable transactions.

Acceptance, Waiver & Consent(AWC)

Bar (Permanent)

All capacities

Indefinite

2/19/2019

Oakes was named in a customer complaint that asserted the following causes of action: Claimants asserted that their accounts were mismanaged by Oakes, who was not properly supervised by his member firm. Specifically, Claimants allege that the investments were highly concentrated in only a few positions that were penny stock, which was contrary to their investment objective of low-risk tolerance.

$70,000.00

This award has not been paid by or on behalf of Thomas Cameron Oakes as of September 5, 2019.

In 2011 clients purchased 3 annuities. Clients requested a product with no chance of loss of principle as this investment was intended as inheritance for heirs. A annuity with a principle based death benefit was recommended. Client now states that having the principle in the open market would have made them more money so they allege that the annuity was inappropriate.

$49,000.00

The parties were notified of entry of the Stipulated Order of Dismissal on 7/31/17.

FINRA

NASD RULES 2110, 2310: OAKES ENGAGED IN UNSUITABLE SHORT-TERM TRADING OF LOW PRICED AND/OR SPECULATIVE SECURITIES IN THE ACCOUNTS OF CUSTOMERS, CAUSING SUBSTANTIAL LOSSES IN THE CUSTOMERS' ACCOUNTS. THE ACCOUNT ACTIVITY WAS NOT SUITABLE FOR THESE CUSTOMERS BECAUSE THE ACTIVITY DID NOT MEET EACH CUSTOMER'S STATED OBJECTIVE OF GROWTH. THESE CUSTOMERS HAD OPENED NEW ACCOUNTS AT OAKES' MEMBER FIRM WITH HIM AS THEIR REGISTERED REPRESENTATIVE, AND EACH OF THE CUSTOMERS HAD FILLED OUT A NEW ACCOUNT FORM WHICH IDENTIFIED, AMONG OTHER THINGS, A PRIMARY INVESTMENT OBJECTIVE OF GROWTH. THE FIRM DEFINED A GROWTH INVESTMENT OBJECTIVE AS HAVING THE GOALS OF GENERATING LONG-TERM CAPITAL GROWTH, INCOME IS SECONDARY. WITH INVESTMENTS IN HIGH QUALITY EQUITY, LARGE CAP FUNDS, A BALANCED PORTFOLIO OF INVESTMENT GRADE GROWTH STOCKS WITH SMALLER POSITIONS IN HIGH GRADE CORPORATE BONDS. SUCH INVESTORS ARE THOSE LOOKING TO GENERATE CAPITAL APPRECIATION OF THEIR INVESTMENTS WHILE WILLING TO HOLD INVESTMENTS FOR A LONGER PERIOD OF TIME. WILLING TO ASSUME MORE MARKET RISKS THAN BALANCE/CONSERVATIVE GROWTH IN RETURN FOR YIELDS THAT ARE EXPECTED TO MEET OR SLIGHTLY EXCEED THE S&P 500 STOCK MARKET INDEX OVER THE LONG RUN. AN INVESTOR THAT IS WILLING AND ABLE TO SUSTAIN FLUCTUATIONS IN VALUES OF THEIR INVESTMENT. NOTWITHSTANDING THIS DEFINITION, OAKES INVESTED THESE CUSTOMERS IN LOW-PRICED AND/OR SPECULATIVE SECURITIES, MANY OF WHICH HE TRADED ON A SHORT-TERM BASIS. WHEN THE CUSTOMERS CLOSED THEIR ACCOUNTS, EACH CUSTOMER HAD LOST SUBSTANTIAL VALUE IN THEIR SECURITIES ACCOUNTS AT THE FIRM.

Acceptance, Waiver & Consent(AWC)

Civil and Administrative Penalty(ies)/Fine(s)

$10,000.00

Suspension

ANY CAPACITY

15 BUSINESS DAYS

12/16/2013

1/7/2014

WITHOUT ADMITTING OR DENYING THE FINDINGS, OAKES CONSENTED TO THE DESCRIBED SANCTIONS AND TO THE ENTRY OF FINDINGS; THEREFORE, HE IS FINED $10,000 AND SUSPENDED FROM ASSOCIATION WITH ANY FINRA MEMBER IN ANY CAPACITY FOR 15 BUSINESS DAYS. THE FINE IS DUE AND PAYABLE EITHER IMMEDIATELY UPON RE-ASSOCIATION WITH A MEMBER FIRM FOLLOWING HIS SUSPENSION OR PRIOR TO ANY APPLICATION OR REQUEST FOR RELIEF FROM ANY STATUTORY DISQUALIFICATION RESULTING FROM THIS OR ANY OTHER EVENT OR PROCEEDING, WHICHEVER IS EARLIER. THE SUSPENSION IS IN EFFECT FROM DECEMBER 16, 2013, THROUGH JANUARY 7, 2014.

WITHOUT ADMITTING OR DENYING THE FINDINGS, OAKES CONSENTED TO THE DESCRIBED SANCTIONS AND TO THE ENTRY OF FINDINGS; THEREFORE, HE IS FINED $10,000 AND SUSPENDED FROM ASSOCIATION WITH ANY FINRA MEMBER IN ANY CAPACITY FOR 15 BUSINESS DAYS. THE FINE IS DUE AND PAYABLE EITHER IMMEDIATELY UPON RE-ASSOCATION WITH A MEMBER FIRM FOLLOWING HIS SUSPENSION OR PRIOR TO ANY APPLICATION OR REQUEST FOR RELIEF FROM ANY STATUTORY DISQUALIFICATION RESULTING FROM THIS OR ANY OTHER EVENT OR PROCEEDINGS, WHICHEVER IS EARLIER. THE SUSPENSION IS IN EFFECT FROM DECEMBER 16, 2013 THROUGH JANUARY 7, 2014.

CLAIMANTS ALLEGE UNAUTHORIZED AND UNSUITABLE TRANSACTIONS, CHURNING, AND VIOLATION OF FIDUCIARY DUTIES.

$100,000.00

$68,000.00

CUSTOMER ALLEGED THAT MR. OAKES SOLICITED THE PURCHASE OF SEVERAL UNIT INVESTMENT TRUST INVESTMENTS, BASED ON A GUARANTEE AGAINST FUTURE LOSSES.

$22,000.00

FAHNESTOCK & CO. INC. DENIES THE COMPLAINT, BELEIVING CUSTOMER WAS AWARE THE INVESTMENTS WERE NOT GUARANTEED. MR. OAKES WAS NOT THE FINANCIAL CONSULTANT NOR DID HE ENTER THE ORDERS.

CLIENT ALLEGES AN UNAUTHORIZED SALE OF 3275 SHARES OF RELIV INTERNATIONAL WAS PLACED IN JUNE 2002

$5,902.19

UNAUTHORIZED TRADING

$11,927.10

MR. OAKES BELIEVES THAT A MISUNDERSTANDING MAY HAVE OCCURED AND A RESOLUTION OF THE MATTER IS BEING SOUGHT

THE CLAIMANTS ALLEGE CHURNING, UNAUTHORIZED TRADING, MISREPRESENTATION AND LACK OF SUITABILITY.

$170,524.61

$125,000.00

CUSTOMER ALLEGED VARIOUS UNAUTHORIZED TRANSACTIONS

$7,495.00

AFTER INVESTIGATING, FAHNESTOCK & CO. INC. DETERMINED THAT THE COMPLAINT WAS WITHOUT MERIT.

CUSTOMER MADE VARIOUS ALLEGATIONS WHICH INCLUDE UNAUTHORIZED TRADING IN HIS IRA ACCOUNT. DAMAGES WERE ALLEGED TO BE IN EXCESS OF $7000.00.

$7,000.00

FIRST OF MICHIGAN CORPORATION BELIEVES THAT CUSTOMER'S ALLEGATIONS HAVE NO MERIT, AND ALL CLAIMS FOR DAMAGES WERE DENIED. NOT PROVIDED

CLAIMANT ALLEGE FRADULENT MISREPRESENTATION, COMMON LAW FRAUD, BREACH OF FIDUCIARY DUTY, PROFESSIONAL NEGLIGENCE, AND UNAUTHORIZED TRADING. ALL ALLEGATIONS STEM FROM TWO PURCHASES OF 1,000 SHARES OF ANCOR COMMUNICATIONS, SIX PURCHASES OF 500 SHARES OF CENTENNIAL TECHNOLOGIES, INC., AND THE PURCHASE OF 100 SHARES OF EARTH SCIENCE, INC. ALLEGED DAMAGES ARE IN EXCESS OF $50,000.00. CLAIMANT ALSO SEEKS AN AWARD OF INTEREST, COST, ATTORNEY FEES AND EXEMPLARY DAMAGES.

$50,000.00

$30,000.00

NOT PROVIDED NOT PROVIDED

AS REPORTED VIA AN AMENDED FORM U-5 BY MR. OAKES' FORMER EMPLOYER, IT WAS PURPORTED THAT THE CLIENT ALLEGED EXCESSIVE AND UNAUTHORIZED TRADING.

$10,000.00

THE MATTER WAS SETTLED BY FORMER EMPLOYER AS PAYMENT TO THE CLIENT THE SUM OF $10,000.00. NEITHER WITH COMPLAINT NOR THE SETTLEMENT NEGOTIATIONS WERE DISCUSSED NOR PRESENTED TO MR. OAKES FOR HIS INPUT. MR. OAKES WAS NOT PROVIDED WITH COPIES OF ANY CORRESPONDENCE OR OTHERS RECORDS WITH RESPECT TO THIS MATTER. Not Provided

PRESCOTT, BALL & TURBEN, INC.

Discharged

N/A PRESCOTT, BALL & TURBEN TERMINATED MR. OAKES FOR CAUSE PENDING INTERNAL INVESTIGATION REGARDING THREE (3) SEPARATE CLIENT COMPLAINTS FROM MS. HEATHER AALDERINK, MS. PATRICIA DEBOER AND MR. STEVEN OLSON IN JANUARY AND MARCH, 1990. COMPLAINTS INVOLVED UNAUTHORIZED TRADING AND FAILURE TO FOLLOW CLIENT INSTRUCTIONS SPECIFIC TO THE ENTRY OF A STOP ORDER (OLSON COMPLAINT).

MR. OAKES DENIES ANY WRONGDOING IN THESE MATTERS.