FINRA Charges Broker With Fraud for Trading Unregistered Cryptocurrency
The Financial Industry Regulatory Authority (FINRA) has charged a broker with fraud for trading unregistered cryptocurrency. FINRA alleged that the broker, Timothy Tilton Ayre, made false and misleading statements to investors and converted investor funds to his own use.
According to FINRA, Ayre offered and sold shares of his company, Rocky Mountain Ayre Inc. (RMTN), which claimed to be developing a cryptocurrency called “KODAKCoin.” Ayre allegedly told investors that RMTN owned the rights to the KODAKCoin and that the cryptocurrency was backed by Kodak, when in fact Kodak had not authorized or endorsed RMTN’s actions.
FINRA also alleged that Ayre transferred investor funds from the RMTN account to his personal account and used the funds for personal expenses, including rent, a vehicle, and a casino.
FINRA’s complaint charges Ayre with violating Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, as well as FINRA Rule 2020, which prohibits fraudulent or manipulative conduct in connection with the purchase or sale of securities.
The case is ongoing, and Ayre has not yet responded to the charges.
Finra complaint lookup
To look up a FINRA complaint, you can follow these steps:
1. Go to the FINRA BrokerCheck website (https://brokercheck.finra.org/).
2. In the search bar, type in the name of the firm or individual you want to look up.
3. Once you find the firm or individual, click on their name to view their BrokerCheck report.
4. Scroll down to the “Disclosure” section of the report.
5. Look for any entries labeled “Customer Dispute” or “Arbitration.”
6. Click on the entry to view the details of the complaint, including the date it was filed, the type of claim, and the resolution.
Note that not all complaints or disputes are listed on BrokerCheck. Only those that meet certain criteria, such as being settled for more than $15,000, are required to be reported.