Finra bars former LPL broker for ‘misrepresentations’

Leslie Koonce denied he took part in private securities transactions.

The Financial Industry Regulatory Authority Inc. has barred former LPL broker Leslie Koonce for misrepresenting his involvement in the sale of private securities.

Finra said Mr. Koonce participated in several private securities transactions between January and June 2012, soliciting at least 30 prospective investors for convertible promissory notes offered by a private company. The regulator said he helped move $175,000 for three LPL customers so they could make investments in the convertible promissory notes, and he ultimately invested $50,000 of his own money in the notes.

Finra said Mr. Koonce did all of this without providing LPL with prior written notice of his participation in the transactions. It also noted that in compliance questionnaires in May 2012 and November 2012 Mr. Koonce falsely denied having participated in any private securities transactions.

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Mr. Koonce, who began his securities career in 1984 at Hornor, Townsend and Kent, was terminated by LPL in December 2015 and then briefly was affiliated with Cetera and EK Riley Investments. He is no longer employed in the securities business.