Former Crystal Bay Securities Broker, Rafael Golan, Barred By FINRA For Failing To Cooperate In An Investigation Regarding His Sales Practices
Rafael Golan (CRD # 1074079) was a Financial Advisor at Crystal Bay Securities, Inc. in Delray Beach, FL. Rafael Golan has been in the securities industry since 1983and previously worked at Independent Financial Group and Sentra Securities Corp.
According to publicly available records released by the Financial Industry Regulatory Authority (FINRA), on January 31, 2019, FINRA sanctioned Rafael Golan, barring him from the securities industry after he failed to cooperate in a FINRA investigation regarding his sales practices. Specifically, FINRA was investigating whether, among other things, Rafael Golan violated the anti-fraud provisions of the federal securities laws (i.e., Section 10(b) and Rule 10b-5).
This was not the first time Rafael Golan was the subject of regulatory scrutiny. He has been the subject of regulatory inquiry by the division of securities in Florida and New Jersey. In 2012, the State of Florida fined Rafael Golan $10,000 for “violating various provisions of the Florida insurance code.” Rafael Golan was fined a second time by the State of Florida in 2012 for failing to notify the regulators that he entered into a consent order regarding prior alleged misconduct. In 2015, the State of New Jersey also sanctioned Rafael Golan, fining him $6,000 for failing to disclose that he was the defendant in a lawsuit.
In addition, Rafael Golan has been the subject of eight (8) customer complaints during his career, alleging sales practice misconduct. Among the complaints filed against him are the following:
- October 2018—“Complaint alleges a series of sales practice violations.” Alleged damages are $1.58 million and the matter remains pending.
- January 2018—Customer “alleges the investments were unsuitable.” The case went to a final hearing and the panel awarded damages of $136,201.
- January 2018—”The statement of claim asserts a variety of claims relating to the Claimants’ purchase of various REITs including unsuitability, breach of contract and negligence.” The complaint alleges an unspecified amount of damages and remains pending.
- July 2013—Customer alleges unsuitability and misrepresentation in connection with life insurance policies and annuities. The matter was settled for $125,000.
- March 2007—“Claimant alleged breach of fiduciary duty.” The matter went to a final evidentiary hearing and the panel awarded $240,000.
For a copy of Rafael Golan’s CRD, click https://brokercheck.finra.org/individual/summary/1074079
Financial advisors have a legal and regulatory obligation to recommend only suitable investments that are appropriate for their clients’ needs and objectives. Their employing brokerage firm has a legal and regulatory obligation to supervise the Financial Advisors’ sales practices and dealings with clients. To the extent any of these duties are breached, the customer may be entitled to a recovery of his or her investment losses.
The Wolper Law Firm represents investors nationwide in securities litigation and arbitration on a contingency fee basis. Matt Wolper, the Managing Principal of the Wolper Law Firm, is a trial lawyer who has handled hundreds of securities cases during his career involving a wide range of products, strategies and securities. Prior to representing investors, he was a partner with a national law firm, where he represented some of the largest banks and brokerage firms in the world in securities matters. We can be reached at 800.931.8452 or by email at email@example.com.