David Slater Allegedly Improperly Shared Commissions

David Slater (CRD# 2061869[1]), a broker registered with Chelsea Financial Services, improperly shared commissions from securities transactions, according to a regulatory action. MDF Law is investigating the Staten Island, New York-based financial professional for similar conduct. If you have concerns about investments in your accounts, contact us for a free consultation.

More information about the allegations against Mr. Slater follows below. This post is based on an October 13, 2024 review of his BrokerCheck profile, a Financial Industry Regulatory Authority record. 

FINRA Letter Details Allegations

A Letter of Acceptance, Waiver, and Consent (No. 2022075799001[2]) released on August 30, 2024 describes FINRA’s enforcement action against Mr. Slater. As it alleges, he paid about $500,000 to an unregistered person with whom he had a business relationship. The payments, per FINRA, were “half of the commissions he earned from his work” at The Investment Center. He had “a business partnership” with the person in question, “including insurance sales, unrelated to the securities industry.” He and the person allegedly communicated about “potential securities recommendations” for at least one customer at Mr. Slater’s firm. They also allegedly “met jointly with at least one customer to discuss securities recommendations.”

As FINRA explained, these alleged activities violated FINRA Rule 2040. Under this rule, brokers may not pay commissions to unregistered persons. The AWC Letter notes that violations of Rule 2040 are also violations of Rule 2010. Under this rule, brokers must “observe high standards of commercial honor” in the conduct of their business. As a result of these findings, FINRA fined Mr. Slater $7,500. It also suspended him from associating with any member firm in all capacities for a period of three months.

David Slater’s AWC with FINRA

Why Did The Investment Center Fire David Slater?

On July 28, 2022, The Investment Center terminated Mr. Slater’s registration with the firm. According to a disclosure on his BrokerCheck report, the firm fired him over allegations he failed to follow firm policy.

Website Describes History, Services

Mr. Slater’s website[4], which describes him as an expert retirement specialist, features a description of his professional history. “David is a compassionate, hardworking, problem solver who loves helping clients organize their financial worlds for today while preparing them for their future,” it reads. “David specializes in utilizing life, annuity, and investment products to solve his clients’ retirement income and protection needs.”

FINRA: Broker Based in Staten Island

David Slater launched his career as a broker in 1991, when he registered with Guardian Investor Services Corporation. Over the following years, he worked at firms including Park Avenue Securities and The Investment Center. He joined his current member firm, Chelsea Financial Services, in 2022, based at its office in Staten Island, New York. With 33 years of experience as a broker, he has completed three industry exams, including the Series 63 and the Series 7. 

MDF Law Has Your Back

MDF Law’s attorneys have recovered more than $100 millions in investment losses for the victims of investment fraud. If you have concerns regarding investments or strategies recommended by David Slater, contact our team. Our lawyers offer free consultations nationwide and take cases on contingency: we only receive a fee when our clients win. You may have limited time to file a claim, so we encourage you to avoid delay. Call 800-767-8040 today.