FINRA Private Placement Fraud and Mismanagement Arbitration Attorney, Russell L. Forkey, Esq.
Ronald George Spomer II (CRD #4210676, Registered Representative, Cody, Wyoming) submitted a Letter of Acceptance, Waiver and Consent in which he was barred from association with any FINRA member in any capacity. Without admitting or denying the findings, Spomer consented to the described sanction and to the entry of findings that he engaged in an outside business activity without prior permission of his member firm by distributing unregistered securities through a non-FINRA regulated entity, and received in excess of $100,000 in compensation. The findings stated that without his new member firm’s knowledge or authorization, Spomer distributed correspondence to non-firm customers who had bought the unregistered securities because the State of Texas ceased the business operations of the issuer and placed the issuer into receivership. The findings also stated that Spomer’s letter used firm disclosure language at the bottom of the letter that gave the erroneous impression that the firm, with Spomer as agent, had issued the correspondence. The findings also included that Spomer failed to submit the letter to his member firm’s principal for prior approval, and failed to provide a sound basis for evaluating the security by promoting the “similar program,” and used improper promissory language to describe the product. FINRA found that Spomer failed to respond to FINRA requests for information. (FINRA Case #2009018497601).