Bob Marquez Barred by FINRA: Pre-IPO Private Placements

Bob Marquez (CRD# 2266269[1]), formerly a broker registered with Investment Network, refused to cooperate with an investigation, according to a 2023 enforcement action. MDF Law is currently investigating the former Smithtown, New York-based financial professional for potential misconduct. If you have concerns regarding your investments, contact us for a free consultation. 

To learn more about the sanction against Mr. Marquez, continue reading this post. The information below is sourced from his BrokerCheck profile, a Financial Industry Regulatory Authority (FINRA) record accessed on January 9, 2024.

AWC Letter: Marquez Failed to Provide Testimony

FINRA sanctioned Mr. Marquez on November 6, 2023. According to a Letter of Acceptance, Waiver, and Consent (# 2022074096803[2]), the action came in the midst of “an investigation into the sales of ‘pre-IPO’ private placement offerings.” On September 14, 2023, FINRA sent him a request to provide on-the-record testimony, the Letter states. One month later, on October 13th, he informed FINRA via email that he “will not appear for the on-the-record testimony at any time.” Consequently, FINRA barred him from association with any member firm in all capacities.

Pre-IPO Private Placements Can Be Risky Investments

As Investopedia[3] explains, a pre-IPO private placement entails the sale of shares in a company before it goes public. In theory, these investments give investors an opportunity to purchase shares at a price that may end up lower than the company’s share price once it goes public. However, there is no guarantee as to what the eventual IPO share price will be; it is even possible that the IPO never happens. Typically, pre-IPO private placements are only available to institutions (like private equity firms and hedge funds) and accredited investors. They may be unsuitable investments for unsophisticated retail investors and/or those with low risk tolerances and net worths. 

Investment Network Fired Bob Marquez in November 2023

Mr. Marquez’s former member firm, Investment Network, fired him on November 6, 2023. According to a disclosure on his BrokerCheck profile, his termination stemmed from the FINRA action against him. 

FINRA: Marquez Last Based in Smithtown, New York

Bob Marquez launched his career as a broker in 1992. That year, he registered with Commonwealth Associates’ branch office in New York City. Over the following decades, he worked at firms like Dalton Kent Securities, Ryan Beck & Company, Empire Financial Group, Colorado Financial Service Corporation, and EDI Financial. He joined his most recent member firm, Investment Network, in 2017. He worked at the firm’s Smithtown, New York office until his termination in November 2023. With 31 years of experience as a broker, he has completed one state securities law exam and two general industry/products exams. He is currently barred from acting as a broker or otherwise associating with a broker-dealer firm.

Private Placement Complaints? Call MDF Law for a Free Consultation

Did you suffer investment losses working with Bob Marquez? MDF Law may be able to help you collect a recovery. Reach out to our experienced broker fraud attorneys at 800-767-8040 for a consultation. Our clients only pay a fee if they recover losses, and we offer free consultations to investors nationwide. You may have a limited window to file a claim, so we encourage you to avoid delay: call MDF Law today.