VENUGOPAL REDDY Is the Subject of a FINRA Investigation – Goodman & Nekvasil, P.A. May Recover Investor Losses
FBS SECURITIES investment adviser, VENUGOPAL REDDY Is the Subject of a FINRA Investigation concerning participating in private securities transactions for selling compensation without providing prior disclosure to his member firm.
VENUGOPAL RAMAKRISHNAPPA REDDY
VENUGOPAL B RAMAKRISHNAPPA, VENUGOPAL RAMAKRISHNAPPA
CRD#: 5125813
Call 800-500-4442 if you think that you have received unsuitable investment recommendations from your adviser.
VENUGOPAL RAMAKRISHNAPPA (CRD#: 5125813), a former broker for WORLD CHOICE SECURITIES, INC. in McKinney, TX, is the subject of a FINRA Investigation. FINRA made a preliminary determination to recommend that disciplinary action be brought against Venugopal Reddy alleging violation of FINRA Rules 3280 and 2010 by participating in private securities transactions for selling compensation without providing prior disclosure to, or receiving prior approval from, the member firm with which he was associated.
Update: FINRA Suspends Reddy
Without admitting or denying the findings, Reddy consented to the sanctions and to the entry of findings that he participated in private securities transactions without providing prior notice to his member firm. The findings stated that Reddy and a partner formed an investment fund and several affiliated entities for the purpose of raising capital to invest in early-stage technology companies. Reddy timely disclosed his role as co-owner and co-manager of these entities to his firm.
Among other things, Reddy disclosed that the entities would engage in “investment related” activities, including offering interests in the fund to investors, and that he would be entitled to receive a share of carried interest under certain circumstances. Reddy also provided draft offering materials to the firm. Ultimately, the firm approved Reddy’s involvement in these entities as OBAs. 36 accredited investors committed a total of $9.2 million in capital to the fund and affiliated entities.
Reddy participated in transactions involving nine of these customers and approximately $5 million in capital by helping to solicit investments and by executing subscription agreements on behalf of the fund and affiliated entities. To date, Reddy has not received any carried interest. Once the firm became aware of the transactions, its CEO signed forms documenting the firm’s approval of them.
VENUGOPAL REDDY Is the Subject of a FINRA Investigation.
Goodman & Nekvasil, P.A., is investigating brokers who may have unsuitably recommended investments to their clients.
St. Petersburg, Florida law firm Goodman & Nekvasil, P.A., has a national practice representing victimized investors. The firm continues to investigate brokerage firms that placed elderly retirees and other conservative investors in unsuitable investments.
Goodman & Nekvasil, P.A., has filed numerous cases against brokerage firms selling high-risk investments and has recovered more than $400 million dollars on behalf of victimized investors.
We allege in these cases that these investment recommendations were unsuitable for our clients in view of their financial situation, needs and investment objectives.
There is no charge for an evaluation of your case. We handle our cases on a contingency fee basis. This means that unless we recover money for you, we charge no attorney’s fee.
If you incurred losses on your investment and would like your case evaluated by a securities attorney, please contact us.
Some of the information in this blog post was obtained from FINRA on 9/17/24. If you believe this information was reported incorrectly, please contact our firm: 1-800-500-4442.