Kevin Nevin (CRD#: 2460059), a registered representative with Dempsey Lord Smith LLC (CRD#: 141238) in Edina, Minnesota, is currently involved in one pending dispute over suitability, according to his BrokerCheck record accessed on April 22, 2020.
On March 30, 2020, a customer filed a complaint against Kevin Nevin, alleging that he made unsuitable investments. The customer is seeking $400,000 in damages. The dispute is pending. What does it mean when brokers are alleged to have recommended unsuitable investments? Brokers must only recommend investments to their clients that are “suitable” for a given client based on that client’s age, risk tolerance, need for liquidity, short-term and long-term goals, and other factors. In this dispute, the client is alleging that Kevin Nevin failed to do that.
This recent pending dispute over suitability is not the only disclosure on Kevin Nevin’s BrokerCheck record. He has also been the subject of several other customer complaints and one regulatory action.
On February 23, 2012, a client alleged that Kevin Nevin violated the Minnesota Securities Act, engaged in common law fraud, made misrepresentations, breached his fiduciary duty, and committed negligence. The activities in question occurred from May 2006 to June 2010. The client sought $555,000 in damages; the matter was settled for $361,250.
On August 26, 2013, a client alleged that Kevin Nevin mishandled variable annuity contracts from February 2012 to January 2013. The client sought $150,000 in damages; the matter ultimately settled for $35,000. In his Broker Comment, Kevin Nevin wrote that his ex-spouse initiated the claim.
On May 23, 2014, Kevin Nevin entered into an Acceptance, Waiver, and Consent (AWC) agreement with the Financial Industry Regulatory Authority (FINRA) in which he consented to a six-month suspension. What happened to lead to Kevin Nevin’s suspension? FINRA found that Kevin Nevin “sold away” from his member firm, peddling unapproved private placements without his member firm’s knowledge. According to FINRA, he sold $690,000 in private placements and received $37,000 in commissions. Kevin Nevin’s suspension lasted six months, from June 2, 2014 to December 1, 2014. He was also fined $37,000, which constitutes a disgorgement of his commissions. A copy of Kevin Nevin’s AWC can be viewed here.
What is selling away? When a broker buys, sells, or solicits securities not approved by their member firm, a broker engages in “selling away.” FINRA Rule 3280 states that a registered representative must provide written notice to their member firm (and receive the firm’s approval) before engaging in a private securities transaction. Thus, selling away is a violation of FINRA rules. For more information on selling away, see our article “A Comprehensive Guide to Selling Away.”
On September 30, 2016, a customer alleged that Kevin Nevin made unsuitable investment recommendations, engaged in common law fraud, breached his contract, and breached his fiduciary duty. The customer is requesting $50,000 in damages; the matter later settled.
Kevin Nevin is registered to sell securities in Michigan, Minnesota, North Dakota, South Dakota, and Wisconsin. He has passed the Series 65 – Uniform Investment Adviser Law Examination, the Series 63 – Uniform Securities Agent State Law Examination, the SIE – Securities Industry Essentials Examination, the Series 7 – General Securities Representative Examination, and the Series 6 – Investment Company Products/Variable Contracts Representative Examination.
Over his 25 years in the securities industry, Kevin Nevin has worked for 11 broker-dealers, one of which has been expelled by FINRA. In addition to Dempsey Lord Smith LLC (CRD#: 141238) in Edina, Minnesota, he has also worked for the following firms:
- Sandlapper Securities LLC (CRD#: 137906)
- Capital Guardian LLC (CRD#: 137919) — expelled by FINRA on January 18, 2018
- VSR Financial Services, Inc. (CRD#: 14503)
- Prospera Financial Services, Inc. (CRD#: 10740)
- Walnut Street Securities, Inc. (CRD#: 15840)
- Linsco/Private Ledger Corp. (CRD#: 6413)
- Ascend Financial Services, Inc. (CRD#: 15296)
- C.R.I. Securities, Inc. (CRD#: 22589)
- Equico Securities, Inc. (CRD#: 6627)
- The Equitable Life Assurance Society of the United States (CRD#: 4039)
If Kevin Nevin was your broker and you have questions about your investments, don’t hesitate to contact the securities attorneys of Fitapelli Kurta to learn about your options for recovery. Call (877) 238-4175 or email email@example.com for your free case consultation with a securities attorney.