The Financial Industry Regulatory Authority suspended an ex-LPL Financial broker from association with any FINRA member in any capacity for six months for participating in private securities transactions and engaging in two outside business activities between 2013 and 2018 without providing prior written notice to the firm, according to FINRA.
Without admitting or denying the findings, Michael B. Mountjoy signed a letter of acceptance, waiver and consent April 29 in which he agreed to the suspension and pay a $10,000 fine. FINRA accepted the letter Monday.
Starting in April 2014 and continuing until November 2017, Mountjoy solicited investors, consisting of friends and business associates, to buy interests in a limited liability company formed to invest in a minor league professional soccer team based in Louisville, Kentucky, according to FINRA. He failed to provide LPL with prior notice or obtain the firm’s advance approval, FINRA said, noting Mountjoy solicited a total of $378,000 in investments in the LLC from four individuals.
Mountjoy also failed to provide written notice to LPL before engaging in two outside business activities. Starting in 2013 and continuing until his termination from LPL in 2018, Mountjoy was a member and treasurer of an LLC that owned and leased real estate, and also a co-owner and board member of another LLC that owned a fund created to promote foreign investments in Indiana and Kentucky, according to FINRA.