History Of Tonya Nicole Smoake
Respondent first became registered with FINRA as a General Securities Representative
(GSR) in 2007, through an association with a FINRA member. In March 2017,
Respondent became registered as a GSR through an association with Purshe Kaplan
Sterling Investments (the firm). On May 14, 2019, the firm filed a Unifoirn Termination
Notice for Securities Industry Registration (Form US) stating that Respondent had
resigned voluntarily, effective May 14, 2019. On May 16, 2019, Respondent became
associated with another FINRA member. On September 9, 2020, Respondent’s new
employer filed a Form US stating that Respondent had resigned voluntarily, effective
August 31, 2020. Respondent is not currently associated with a FINRA member, but
remains subject to FINRA’s jurisdiction pursuant to Article V, Section 4 of FINRA’s ByLaws
Tonya Nicole Smoake Report
FINRA Rule 3280(b) states that “[p]rior to participating in any private securities
transaction, an associated person shall provide written notice to the member with which
he is associated describing in detail the proposed transaction and the person’s proposed
role therein and stating whether he has received or may receive selling compensation in
connection with the transaction….” FINRA Rule 3280(e) defines “private securities
transaction” as “any securities transaction outside the regular course or scope of an
associated person’s employment with a member….”
A violation of FINRA Rule 3280 is also a violation of FINRA Rule 2010, which provides
that representatives of member firms “shall observe high standards of commercial honor
and just and equitable principles of trade.”
From April to September 2017, Respondent facilitated approximately $850,000 in
investments from four investors in a registered investment advisor (the RIA), which
raised capital through a securities offering pursuant to Regulation D of the Securities Act
of 1933. In addition, from September 2018 to January 2019, Respondent facilitated
approximately $780,000 in investments from eight investors in the RIA’s holding
company, which also raised capital through a securities offering pursuant to Regulation D
of the Securities Act of 1933. Respondent was the chief operations officer of the RIA at
the time of these offerings. She was involved in the RIA and the offerings by the RIA’s
chief executive officer. To facilitate the investments, Respondent distributed offering
documents to the investors, gathered signed documents from investors, answered investor
questions, and coordinated investor payments. Respondent did not receive any
commissions from the sale of the securities. None of the investors were firm customers.
In March 2017, Respondent disclosed her role at the RIA to the firm. However, she did
not provide prior written notice to the firm of her participation in the securities offerings
In addition, in November 2017 and November 2018, Respondent inaccurately certified on
the firm’s annual compliance questionnaires that she was not involved in any private
securities transaction that had not been previously disclosed to the firm.
Therefore, Respondent violated FINRA Rules 3280 and 2010.
Penalties, Punishments & Sanctions
• A 12-month suspension from associating with any FINRA member in all
• a $5,000 fine.
The fine shall be due and payable either immediately upon reassociation with a member
firm or prior to any application or request for relief from any statutory disqualification
resulting from this or any other event or proceeding, whichever is earlier.
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Respondent specifically and voluntarily waives any right to claim an inability to pay, now
or at any time after the execution of this AWC, the monetary sanction imposed in this
Respondent understands that if she is barred or suspended from associating with any
FINRA member, she becomes subject to a statutory disqualification as that term is
defined in Article III, Section 4 of FINRA’s By-Laws, incorporating Section 3(a)(39) of
the Securities Exchange Act of 1934. Accordingly, she may not be associated with any
FINRA member in any capacity, including clerical or ministerial functions, during the
period of the bar or suspension. See FINRA Rules 8310 and 8311.
Tonya Nicole Smoake Review
Between April 2017 and January 2019, Respondent participated in private securities
transactions involving approximately $1.6 million in total sales, without the firm’s
knowledge or approval, in violation of FINRA Rules 3280 and 2010.
How To Spot A Fraud Finance Advisor (Infographic)
Help For Victims Of Tonya Nicole Smoake
If you have lost funds because of misrepresentation, unsuitable investment, or unsuitable investment strategy from Tonya Nicole Smoake. Then you can take legal action and get justice. Fraud, Malpractice & dereliction of duty should not be taken lightly, especially in this industry. We highly suggest that you notify authorities or seek legal action if your financial advisor or brokerage firm fails to abide by FINRA’s rules are regulations.
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Financial advisors are regulatory & legally obligated to suggest (recommend) the most suitable investments/investment strategies to their clients. Their suggestions should have their client’s best interests and should be appropriate for their client’s goals and needs. Similarly, the brokerage firm which hires financial advisors also has a regulatory & legal obligation to keep a close watch and supervise their Financial Advisors’ practices & behavior. They need to make sure that the financial advisor is not being manipulative or having an unreasonable bias towards certain investments. If the financial advisor and/or the brokerage firm breaches these duties, then the client/customer may be entitled to a full or partial recovery of their losses.
Financial advisors need to have the interest of their clients when giving suggestions related to investments and investment strategies. Reasonable basis suitability requires the advisor to do their best to analyze & identify the risks and rewards associated with their suggested investment and/or investment strategy.