Bill Kielczewski Named Respondent in FINRA Complaint Alleging Solicitation of Hedge Fund in which He was Personally InvestedMonday, June 10, 2019
On May 21, 2019, the Financial Industry Regulatory Authority (FINRA) Department of Enforcement filed a Complaint alleging that former Huntington Investment Company representative William (Bill) Kielczewski participated in private securities transactions, through which four customers invested over $10 million, without notifying his member firm and obtaining prior approval.
According to his FINRA BrokerCheck report, Kielczewski has been associated with two member firms since obtaining his license in 1999. He was associated with Fifth Third Securities, Inc. from November 1999 to December 2013 and The Huntington Investment Company (Huntington) from January 2014 to May 2017. Both firms are located in Toledo, Ohio. He was discharged from Huntington after the firm concluded that he had misrepresented activity relating to an outside business activity, and engaged in private securities transactions without firm approval.
According to the Complaint, Kielczewski repeatedly stated to his member firm he was a passive investor in the Mariemont Capital Partners L.P. hedge fund that he formed with others in 2014 for the purpose of trading and investing in pools of residential mortgage-backed securities. Kielczewski owned 10% in Mariemont at the time and currently owns 22.25% of the company. He also served as a manager of the company and personally invested $400,000 in the hedge fund.
FINRA Department of Enforcement alleges that Kielczewski was actively promoting Mariemont, which led to four firm customers investing $10 million through private securities transactions which Kielczewski executed. FINRA also alleges that because Kielczewski falsely representing that he was a “passive investor” for this hedge fund, he caused his member firm to make five false regulatory filings.
FINRA Department of Enforcement is requesting relief to make findings of fact and conclusions of law that William Kielczewski violated NASD Rule 3040 and FINRA Rule 3280, 1122, and 2010. The Department of Enforcement also requests that appropriate sanctions be imposed and that he bear costs deemed fair and appropriate.
Many times, brokerage firms can be held liable if they failed to supervise a broker who committed misconduct while registered at their firm. If you lost money while investing with William (Bill) Kielczewski and you suspect wrongdoing, you may be able to recover from him or his brokerage firm, Huntington Investment Company. Call us (1-877-410-8172) for a free, no obligation consultation. We have over 18 years of experience fighting for victims of broker misconduct and investment fraud.