Wisconsin Bars Thomas Demergian Following Alleged Misappropriation

Thomas Demergian (CRD #: 2347302), a broker formerly registered with American Portfolios Financial Services, was recently barred by the State of Wisconsin, according to his BrokerCheck record, accessed on May 23, 2023. If you have questions about his alleged conduct as a broker, read on.

Wisconsin Regulatory Action

On March 10, 2023, the Wisconsin Department of Financial Institutions, Division of Securities alleged that Thomas Demergian violated state securities laws by engaging in dishonest or unethical practices.

Specifically, the Division alleged that he persuaded clients to transfer their investment funds to a bank account he controlled and used for his own benefit, and also created false documents to create the appearance that these funds had been legitimately invested.

The Division further alleged that Thomas Demergian admitted to misappropriating at least $1.5 million from 14 investors over 20 years.

Starting March 10, 2023, the state permanently barred Thomas Demergian from practicing as a broker in all capacities and revoked his right to certain exemptions. He was also ordered to cease and desist.

FINRA Rule 2010

FINRA Rule 2010 holds brokers to high standards of commercial honor and just and equitable principles of trade.

FINRA Rule 2020

FINRA Rule 2020 prohibits the use of fraudulent tactics, like manipulation or deception, as they relate to the purchase and sale of securities.

FINRA Rule 2150

FINRA Rule 2150 forbids brokers from misusing investors’ funds.

Background Information

Thomas Demergian has passed the following exams:

• Series 65 – Uniform Investment Adviser Law Examination
• Series 63 – Uniform Securities Agent State Law Examination
• SIE – Securities Industry Essentials Examination
• Series 7 – General Securities Representative Examination
• Series 24 – General Securities Principal Examination

He previously worked for the following firms:

• American Portfolios Financial Services (CRD#:18487)
• SagePoint Financial (CRD#:133763)
• SunAmerica Securities (CRD#:20068)
• American Express Financial Advisors (CRD#:6363)
• IDS Life Insurance Company (CRD#:6321)

Kurta Law Can Help

If you worked with Thomas Demergian and you have concerns about your investments, please contact us today at 877-600-0098 or info@kurtalawfirm.com for a free consultation.

For over 20 years, Kurta Law has advocated on behalf of investors who want to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm and exclusively represents investors against brokers and brokerage firms on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf.