New Jersey Bureau of Securities

Block engaged in dishonest or unethical business practices in the securities business. Block engaged in a device, scheme, or artifice to defraud. Block engaged in an act, practice, or course of business which operates or would operate as a fraud or deceit upon any person. Block is the subject of an order of a self-regulatory organization expelling him from a self-regulatory organization. Block is the subject of an order of a self-regulatory organization suspending him from a self-regulatory organization.

Consent

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

$291,600.00

Revocation

All exemptions contained in N.J.S.A. 49:3-50 subsection (a) paragraph 9, 10, and 11 and subsection (b) are hereby DENIED as to Block. All exemptions to the registration requirements provided by N.J.S.A. 49:3-56(b), N.J.S.A. 49:3-56(c), and N.J.S.A. 49:3-56(g) are hereby DENIED as to Block.

FINRA

Respondent Block failed to respond to FINRA request for information.

Letter

Bar (Permanent)

All capacities

Indefinite

5/15/2019

Pursuant to FINRA Rule 9552(h) and in accordance with FINRA's Notice of Suspension and Suspension from Association letters dated February 12, 2019, and March 8, 2019, respectively, on May 15, 2019, Block is barred from association with any FINRA member in all capacities. Respondent failed to request termination of his suspension within three months of the date of the Notice of Suspension; therefore, he is automatically barred from association with any FINRA member in all capacities.

FINRA

Respondent Block 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.

1/15/2019

Pursuant to Article VI, Section 3 of FINRA By-Laws, and FINRA Rule 9554, Respondent Block is suspended on January 15, 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

Block is statutorily disqualified because of a Consent Order dated October 14, 2016 entered by the State of Delaware Investor Protection Unit (the "Delaware Order"). Pursuant to the Delaware Order, Block agreed to cease and desist from committing any violations of the Delaware Securities Act and agreed to not apply for future registration as a broker-dealer agent or investment adviser representative. The Delaware Order also suspended Block's broker-dealer agent and investment adviser representative registration for three years (retroactive to March 2014). The basis for the Delaware Order was a complaint filed by the Delaware Investor Protection Unit alleging that Block engaged in: (1) securities fraud-churning; (2) dishonest or unethical practices-excessive trading; (3) securities fraud-unsuitable recommendations; (4) dishonest or unethical practices-unsuitable recommendations; (5) dishonest or unethical practice-narcotics use; and (6) dishonest or unethical practice-failure to address mental instability notification.

On 9/28/18 the SEC dismissed the appeal

Denial

On March 13, 2018, the NAC-issued Notice Pursuant to Section 19(d) Securities Exchange Act of 1934 finds the Membership Continuance Application (MC-400) submitted on November 15, 2016 by First Standard Financial Company LLC denied. FINRA found it not in the public interest, and would create an unreasonable risk of harm to the market and investors, for Block to continue to associate with the Firm. The Application was denied for the following reasons: the seriousness of the allegations underlying Block's disqualifying event, the recency of that event, and Block's additional regulatory history. Further, the Firm has proposed an inadequate heightened supervisory plan and the proposed supervision of Block from a remote location is problematic. On April 3, 2018, Block requested Commission Review of FINRA's Decision. The denial is in effect pending the review.

DELAWARE

The Delaware Investor Protection Unit filed an administrative complaint against Respondent Gabriel Block on August 28, 2015 pursuant to the Delaware Securities Act, 6 Del. C. § 73-101, et seq. alleging six counts arising from his service of a Delaware client's securities accounts: (1) Securities Fraud - Churning; (2) Dishonest or Unethical Practice - Excessive Trading; (3) Securities Fraud - Unsuitable Recommendations; (4) Dishonest or Unethical Practice - Unsuitable Recommendations; (5) Dishonest or Unethical Practice - Narcotics Use; and (6) Dishonest or Unethical Practice - Failure to Address Mental Instability Notification.

Consent

Cease and Desist

Suspension

All Capacities

Three years

3/13/2014

3/13/2017

Respondent agrees to voluntarily relinquish his right to apply for future registration as a broker-dealer agent or investment adviser representative in Delaware

Mr. Block denies all allegations in the complaint and there were no findings of fact. No monetary fine or disgorgement was imposed. Suspension period ends March 13, 2017.