America West Resources, Inc.(fka AWSRQ)

[MsCoffeenut333]

FINRA Hearing Panel Expels John Thomas Financial and Bars CEO Tommy Belesis for Trading Ahead of Customer Orders, Providing False Testimony and Other Violations; Ordered To Pay $1,047,288 to Customers


On Feb. 23, 2012, the price of AWSR common stock spiked approximately 600 percent, opening at 28 cents per share, peaking at $1.80 per share and eventually closing the day at $1.29 per share. That same day, JTF sold 855,000 shares, the majority of its proprietary position in AWSR, reaping proceeds of more than $1 million. The panel found that JTF and Belesis traded ahead of 14 JTF customers who tried to sell their positions in AWSR, and had profited while customers who had tried to sell AWSR stock had been unable to do so. The decision noted, however, that JTF did not intentionally hold customer orders but instead, JTF brokers tried to enter the orders but were unsuccessful in their attempts. FINRA's rule requires the firm to execute those orders at the same or better price than the firm obtained for itself. In failing to cancel and rebill the proprietary trades, the panel decided JTF and Belesis violated the just and equitable principles of trade rule.


http://www.finra.org/Newsroom/NewsReleases/2015/P602256