Richmond, VA | December 16, 2024 – David Andrew Kangas (CRD# 6591398), a registered representative with WealthForge Securities, LLC, is facing a pending customer dispute filed in October 2025. The complaint alleges fraud, lack of suitability, misrepresentations and omissions, negligence, breach of fiduciary duty, and breach of contract related to a private placement investment made in September 2021. This post provides information about the allegations and investor recovery options through FINRA arbitration.
BrokerCheck Snapshot
Name: David Andrew Kangas
CRD #: 6591398
Firm: WealthForge Securities, LLC
Location: Richmond, VA
Years in Industry: 9
Number of Disclosures: 1
Customer Complaint Against David Kangas
A customer filed an arbitration claim with FINRA on October 7, 2025 (Case # 25-02133), which Kangas received on October 21, 2025. The complaint stems from investment activity in September 2021 and alleges fraud, lack of suitability, misrepresentations and omissions, negligence, breach of fiduciary duty, and breach of contract.
The customer invested $1,250,000 in a private placement involving Delaware Statutory Trust (DST) properties. The claimant seeks compensatory damages to be determined by the arbitration panel, as well as benefit of the bargain damages, lost opportunity cost, model portfolio damages, attorney’s fees, costs, and prejudgment interest. The exact amount of alleged damages is listed as $0.00 with damages to be determined.
Status: Pending
According to Kangas’s statement, the investor sold an investment property and completed a 1031 exchange into a diversified portfolio of nine DST replacement properties. More than one year after the investment, the management team at the sponsor of three DST properties changed. In subsequent years, those three properties allegedly experienced market-driven pressures, including increases in insurance costs, property taxes, maintenance expenses, and competition from new construction, along with reduced operating performance under new management. As a result, distributions on those three DSTs were allegedly reduced and later suspended. Kangas states that no loss of invested principal has occurred and notes that distributions in DST investments are not guaranteed. The original management team has reportedly been reinstated by court order.
Pattern of Complaints / Risk Factors
While each case is unique, complaints alleging unsuitable investment recommendations, misrepresentations, and breach of fiduciary duty may indicate concerns related to inadequate due diligence, failure to disclose material risks, or recommendations that do not align with an investor’s objectives and risk tolerance. Investors who experienced similar issues with private placements or DST investments should carefully review account statements and seek legal guidance.
Can Investors Recover Losses?
Investors who were recommended unsuitable or high-risk investments may be entitled to recover losses through FINRA arbitration. Patil Law, P.C. has over 15 years of experience representing investors in FINRA arbitration and securities litigation, with more than $25 million recovered for clients across 1,000+ cases. We provide a free, confidential consultation to review your potential claim. Our firm works on a contingency fee basis, meaning you pay no attorney fees unless we successfully recover money for you.
About FINRA Arbitration
FINRA arbitration is a streamlined dispute resolution process for securities-related claims. It offers a faster, more cost-effective alternative to traditional court litigation. Most cases are resolved within 12-16 months. Claims generally must be filed within six years of the incident.
Related Brokers and Firms
For more information about complaints involving WealthForge Securities, investors may wish to review disclosures for other brokers at the firm. Common allegations involving WealthForge Securities representatives include unsuitable investment recommendations in private placements, failure to conduct due diligence, and misrepresentations regarding investment risks.
Additional resources on recovering losses from broker misconduct and investment fraud are available through our practice area pages.
Frequently Asked Questions
What is the complaint against David Kangas?
The complaint alleges fraud, lack of suitability, misrepresentations and omissions, negligence, breach of fiduciary duty, and breach of contract related to a $1,250,000 private placement investment involving DST properties made in September 2021. The case is currently pending in FINRA arbitration.
Can investors recover losses involving WealthForge Securities?
Yes, investors who suffered losses due to unsuitable recommendations, misrepresentations, or other forms of broker misconduct may be entitled to recover damages through FINRA arbitration. Most brokerage agreements require disputes to be resolved through this process rather than court litigation.
What is FINRA arbitration?
FINRA arbitration is a dispute resolution forum for securities-related claims between investors and brokerage firms or brokers. It is generally faster and less expensive than traditional litigation, with most cases resolved within 12-16 months. An arbitration panel hears evidence and makes a binding decision.
What does “unsuitable investment” mean?
An unsuitable investment is one that does not align with an investor’s financial situation, investment objectives, risk tolerance, or investment experience. Brokers have a duty to recommend only investments that are suitable for their clients based on these factors. Unsuitable recommendations are a common basis for investor claims.
How do I look up a broker on BrokerCheck?
Visit FINRA’s BrokerCheck website at brokercheck.finra.org and search by the broker’s name or CRD number. The report will show employment history, qualifications, and any customer complaints, regulatory actions, or other disclosures. This is a free service available to all investors.
What should I do if I suspect broker misconduct?
First, gather all documentation related to your account, including statements, confirmations, and communications with your broker. File a complaint with your brokerage firm and keep records of all correspondence. Consider consulting with a securities attorney to evaluate whether you have grounds for a FINRA arbitration claim. Time limits apply, so it is important to act promptly.
About Patil Law, P.C.
Patil Law, P.C. is a securities litigation firm dedicated to representing investors who have suffered losses due to broker misconduct, unsuitable recommendations, and securities fraud. Founded in 2018 by attorney Chetan Patil, the firm focuses exclusively on FINRA arbitration and investment loss recovery.
With over 15 years of combined experience in securities law, Patil Law has successfully recovered more than $25 million for clients across 1,000+ cases. Attorney Chetan Patil earned his law degree from Case Western Reserve University School of Law. Attorneys Gabriela Dubrocq and Patricia Herrera earned their law degrees from University of Miami. The firm handles cases nationwide involving unauthorized trading, churning, unsuitable investments, breach of fiduciary duty, and failure to supervise.
Patil Law works on a contingency fee basis, meaning clients pay no attorney fees unless the firm successfully recovers money on their behalf. All consultations are free and confidential.
Contact Patil Law for a Free Consultation
If you lost money investing with David Kangas or WealthForge Securities, contact Patil Law, P.C. for a free, confidential consultation. Our experienced securities attorneys can review your case and explain your options for recovery. Call 800-950-6553 or email info@patillaw.com today. There is no obligation, and you pay no attorney fees unless we recover money for you.
Disclaimer
The information in this post is based on FINRA BrokerCheck records and public filings. Allegations described are pending or unproven and may be contested. All investors are entitled to fair treatment under securities laws. This is attorney advertising. Prior results do not guarantee a similar outcome. This communication is for informational purposes only and does not create an attorney-client relationship.
