Client alleges unsuitable recommendation of investment product purchased in 2015.

$18,000.00

$5,000.00

FINRA

Without admitting or denying the findings, Harber consented to the sanctions and to the entry of findings that he participated in private securities transactions by investing in a private company through an outside investment vehicle formed by him, and facilitated investments for other investors, some of whom were his customers at his member firm, without providing the firm with written notice prior to forming the investment vehicle or prior to investing in the company through the investment vehicle, and he also did not provide the firm with written notice prior to facilitating investments in the company for the investors and/or customers. The findings stated that Harber and the investors and/or customers invested a total of $435,000 in the private company through his outside investment vehicle.

Acceptance, Waiver & Consent(AWC)

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

$10,000.00

Suspension

Any capacity

four months

2/1/2016

5/31/2016

Fine paid in full on February 8, 2016.

MO ALLEGES FIRM GAVE UNSUITABLE RECOMMENDATION IN 1997 TO USE MORTGAGE TO FINANCE RETIREMENT INVESTMENT; CLIENTS WROTE MO REGULATOR CA. 06/2005 OF SITUATION. MO ALLEGES FAILURE TO SUPERVISE. NOTWITHSTANDING THE STATE'S INVESTIGATION, AFTER AN EVIDENTIARY EXPUNGEMENT HEARING ON THE SUITABILITY ISSUE, THE ARBITRATOR DETERMINED IT WAS A SUITABLE RECOMMENDATION FOR THE CUSTOMERS AT THE TIME IT WAS MADE.

$56,000.00

$56,000.00

MO BEGAN INVESTIGATION CA. 06/2005. FIRM ACCEPTED CONSENT ORDER 10/12/2006 W/O ADMITTING OR DENYING ALLEGATIONS.CIVIL PENALTY $10,000/RESPONDENT; $56,000 RESTITUTION, RESTRICTIONS.

MISSOURI SECRETARY OF STATE, SECURITIES DIVISION

RESPONDENTS MADE UNSUITABLE RECOMMENDATIONS TO MO INVESTORS BY RECOMMENDING AN INVESTMENT STRATEGY THAT REQUIRED INVESTORS TO MORTGAGE THEIR HOMES TO INCREASE THE AMOUNT OF INVESTABLE ASSETS. RESPONDENTS FAILED TO REASONABLY SUPERVISE AGENTS.

Consent

CIVIL FINE WAS $10,000 PER RESPONDENT; $56,000 RESITITUTION TO MO INVESTOR RESTITUTION FUND; RESPONDENTS ARE PROHIBITED FROM MAKING ANY INVESTMENT RECOMMENDATION THAT INVOLVES OBTAINING INVESTMENT ASSETS FROM MORTGAGING HOMES AND RESPONDENTS ARE PROHIBITED FROM SERVING IN A SUPERVISORY CAPACITY WITH BD OR IA FOR 2 YEARS FROM 10/12/2006.

FIRM NEITHER ADMITS NOR DENIES THE ALLEGATIONS IN ACCEPTING THE CONSENT ORDER SETTLEMENT. MISSOURI ALLEGES UNSUITABLE ADVICE WAS RECOMMENDING A MORTGAGE AS SOURCE OF FUNDS FOR RETIREMENT INVESTMENTS.