California Broker Rick Esparza Borrowed Money From Client, Permanently Barred by FINRA

Failure to respond to FINRA’s request regarding customer loan ends securities career.

In August 2015, Princor Financial Services Corp. broker Rick Esparza consented to findings he borrowed money from his client. The California broker allegedly made numerous withdrawals from his client’s variable annuity totaling a personal loan of $67,500. When Esparza failed to make timely payments, the client complained.

As a result, the client was granted $75,000 in settlement damages and, less than a week later, Princor Financial Services Corp. discharged Esparza from its employ.

As a result of the client complaint, FINRA initiated an investigation into Esparza’s actions, requesting information from the broker. His failure to provide documents and information requested by FINRA during the course of its investigation has resulted in Esparza being permanently barred from acting as a broker or otherwise associating with firms that sell securities to the public.

Unethical behavior on the part of a financial adviser takes place, unfortunately, more often than investors realize. If you or someone you know is the victim of unethical behavior or securities fraud, it is important to know that you have rights.

Through securities arbitration, you may potentially recover your financial losses. What you need is an experienced securities arbitration attorney with a proven track record in client recovery. The team of securities arbitration attorneys at Silver Law Group stands ready to help you understand your rights and represent your interests.