Cynthia Komarek & Grant Birkley, two brokers formerly registered with SagePoint Financial of Barrington, IL, were terminated on the same day after the firm discovered that they were engaged in making referrals to an outside asset manager who was not approved by the board.
Cynthia Komarek (CRD#: 1188714, aka (Cynthia Ann Brown, Cynthia Brown-Komarek, Cynthia Brown Komarek, Cynthia Brown Pearson) is a former registered broker and investment advisor last employed with SagePoint. Her previous employers include Wells Fargo Clearing Services, LLC (CRD#:19616) of Woodstock, IL., Merrill Lynch, Pierce, Fenner & Smith Incorporated (CRD#:7691) of Crystal Lake, IL., and Lehman Brothers Inc. (CRD#:7506), of New York, NY. She has been in the industry since 1983.
Grant Birkley (Grant Christopher Birkley CRD#: 2933533) is also formerly registered with SagePoint, Wells Fargo, and Merrill Lynch at the same time as Komarek. He has been in the industry since 1998.
Two client disputes were filed on the same day for both Komarek and Birkley. In Komarek’s case, they total $2,330,000:
- 8/13/2020: Recommendation of an inappropriate fund that was not board approved with requested damages of $900,000
- 8/31/2020: Allegation of inappropriate involvement in sale of an unapproved investment product with requested damages of $1,430,000
Birkley has two similar disclosures totaling $3,830,000:
- 8/13/2020: Recommendation of an inappropriate fund that was not board approved with requested damages of $2,400,000
- 8/31/2020: Aallegation of an inappropriate involvement in sale of an unapproved investment product with requested damages of $1,430,000
SagePoint terminated both Komarek and Birkley on 8/19/2020 for referring clients to an asset manager outside of the firm that was not previously approved by the board.
After their discharge, SagePoint provided their Uniform Termination Notice for Securities Industry Registration (Form U5) termination forms to FINRA. Both admitted to making the outside referrals without approval.
FINRA then sent letters requesting information and documents relevant to the investigation on April 13, 2021. On May 10, 2021, FINRA was notified in a phone call from counsel for both Komarek and Birkley that they would not be providing any information at any time.
After their refusal, Komarek and Birkley were indefinitely barred from any affiliation with a FINRA broker in any capacity.
Neither Komarek nor Birkley have any previous disciplinary history.
Did You Invest With Cynthia Komarek Or Grant Birkley?
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