Iowa Insurance Commissioner Nick Gerhart ordered Randall A. Finer of Lake Mills on Wednesday to stop all sales of securities and to pay compensation for $614,272 including interests for presenting and issuing unregistered securities.
Finer asked for funds from 24 different investors in Iowa and issued several documents to them as promissory notes. These types of investment contracts must be under state regulation. Finer misstated the investment opportunity even if he is not permitted to sell securities or work as an investment adviser.
He told the investors that funds would be used for “day trading” and, would “guarantee” of a 20 percent return or more on day trading while he would not take commission or fee except those profits in surplus of the 20 percent return.
“After reviewing the facts in this case, the Iowa Insurance Division has ordered Mr. Finer to stop offering and issuing unregistered securities and pay back the money from those he had previously offered and issued the unregistered securities to,” Gerhart said.
Iowa Insurance Commissioner encourages Iowa residents to double-check their investments and their investment advisers with insurance office before handing over their hard-earned money.