Facts

Lewis Booth filed a complaint against Crown Capital Securities LP related to investments in TNP Strategic Retail Trust, Inc. real estate investment program.

CLAIMANT'S CONTENTIONS:
Claimant asserted claims for violations of Section 12(a)(2) of the Federal Securities Act; violations of FINRA Rule 2110, violations of FINRA Rule 2111, negligence, negligent misrepresentations and omissions of material facts, breach of fiduciary duty, respondeat superior and control person liability, and elder abuse.

RESPONDENT'S CONTENTIONS:
Respondent denied the allegations and asserted various affirmative defenses. Respondent sought the expungement of non-party Wesley Gorospe's records.

Damages

Booth sought to rescind $105,000 in investments, plus interest, fees and costs, as well as out-of-pocket losses, punitive damages, and other relief.

Result

The parties ultimately reached a $25,000 settlement. The FINRA Panel then recommended the expungement of non-party Gorospe's records.

Other Information

ARBITRATORS: Morris S. Getzels, Eugene A. Taylor Jr., Elliott Z. Seff. FILING DATE: Feb. 25, 2014.