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A Pattern of Serious Misconduct Spanning Multiple Firms
Keith Craig Baron (CRD# 3231494), formerly a registered broker and investment adviser, has been the subject of numerous regulatory actions, customer complaints, and disclosures that raise serious concerns about his professional conduct in the securities industry. The FINRA BrokerCheck report reveals a troubling history of alleged misconduct, culminating in a permanent bar from the securities industry in February 2025. Investors who have worked with Baron should be aware of these allegations and understand their potential options for recovery.
FINRA’s Permanent Bar and Serious Allegations
In December 2023, FINRA initiated regulatory action against Baron (Docket# 2022073772701) that resulted in a permanent bar from the securities industry. According to FINRA’s findings, Baron engaged in several serious violations while associated with Equity Services Inc.:
- Made material misrepresentations to investors, specifically a married senior couple, in connection with his recommendation of Company A’s stock
- Failed to disclose to these investors that he was a consultant for Company A and had a financial stake in their investment
- Made additional material false statements to one of the investors regarding a purported buyback of the couple’s shares
- Maintained an undisclosed business relationship with Company A under a “Strategic Consulting Services Agreement”
- Received $284,890 in compensation from Company A in 2016 without providing prior written notice to his brokerage firm
- Participated in private securities transactions by recommending and facilitating the couple’s purchase of 4,348,000 shares of Company A’s common stock for $359,806.16 without proper disclosure or authorization
- Made false statements orally and in writing to compliance staff at his firm
- Provided false information to FINRA in response to requests for information
These violations represent fundamental breaches of the trust relationship between a financial advisor and his clients. The FINRA hearing panel found Baron’s misconduct so egregious that in addition to a permanent industry bar, he was ordered to pay disgorgement of $284,890 plus interest and hearing costs of $12,402.68.
History of Customer Disputes and Settlements
Baron’s BrokerCheck report shows multiple customer disputes that have been settled over the years, establishing a concerning pattern:
- In 2022, clients alleged that Baron “acted as a securities broker for NAEG to solicit investments for the sole purpose of misappropriating investor money” involving oil and gas investments. This case was settled for $175,000.
- In 2014, a customer complaint alleged that Baron failed to clearly explain options regarding insurance and investment products, including a traditional whole life insurance policy within a 401(k) plan and a universal life insurance policy with undisclosed surrender charges. This complaint was settled for $68,124.24.
- In 2012, a customer alleged that Baron misrepresented fees associated with a variable annuity policy purchased in March 2011. The customer was unaware of surrender charges that would apply when withdrawing funds. This complaint was settled for $2,500.
- An earlier dispute from 2010 involved allegations that investors had been victims of an investment scheme involving Native American Energy Group (NAEG). The investors claimed they never received stock certificates for their investments between February 2005 and August 2007, totaling approximately $521,500. This matter was settled in 2012.
Termination After Elder Abuse Allegations
Adding to the concerns about Baron’s conduct, he was permitted to resign from NYLIFE Securities LLC in September 2011 after the company initiated an internal review. The review was prompted by an inquiry from an attorney representing a New York Life customer about the transfer of real property to Baron. The company was also investigating whether Baron had recommended unsuitable insurance products.
Baron’s statement in the BrokerCheck report claimed the property was given to him by a “friend” who was not his customer, and that he reversed the transaction when informed the friend had second thoughts. However, the circumstances surrounding this situation raise serious questions about potential elder financial abuse and conflicts of interest.
Understanding the Impact on Investors
The allegations against Keith Craig Baron highlight several common tactics used in investment fraud scenarios:
Undisclosed Conflicts of Interest
One of the most serious allegations against Baron involved his failure to disclose his consulting relationship with Company A while recommending its stock to clients. This creates a fundamental conflict of interest that prevents investors from making fully informed decisions. When a financial professional has a financial stake in recommending particular investments, this must be clearly disclosed.
Misrepresentations and Omissions
Throughout multiple customer complaints, a common theme emerges of alleged misrepresentations about investment features, risks, and fees. Whether regarding surrender charges on annuities, the nature of investment products, or claims about stock investments, these allegations suggest a pattern of providing incomplete or misleading information to clients.
Private Securities Transactions (“Selling Away”)
Baron was accused of participating in private securities transactions without proper disclosure to his employing firm – a practice known as “selling away.” This practice circumvents the supervisory controls designed to protect investors and can leave clients vulnerable to unsuitable or fraudulent investment schemes.
Exploitation of Senior Investors
The allegations involving property transfers and the case involving a married senior couple suggest potential exploitation of elderly investors. Senior financial abuse is a particularly concerning form of misconduct that takes advantage of potentially vulnerable individuals.
No Longer Registered and Current Status
As of January 2022, Keith Craig Baron is no longer registered as a broker or investment adviser with any firm. According to his FINRA BrokerCheck report, his last registration was with Equity Services, Inc. from August 2015 to January 2022. Following FINRA’s permanent bar effective February 28, 2025, he is prohibited from associating with any FINRA member firm in any capacity.
Baron’s professional history also includes registrations with:
- Park Avenue Securities LLC (November 2011 – August 2015)
- NYLIFE Securities LLC (March 2009 – October 2011)
- BrokersXpress LLC (March 2008 – December 2008)
- G. Martin Securities LLC (December 1999 – February 2008)
- FIN-Atlantic Securities, Inc. (June 1999 – December 1999)
Legal Options for Investment Recovery
If you invested with Keith Craig Baron at any point during his career, particularly during his time at Equity Services, Inc., Park Avenue Securities, NYLIFE Securities, or in connection with investments in Native American Energy Group or other private placements, you may have options for recovering your losses. These potential recovery paths include:
FINRA Arbitration
For investments made through registered brokerage firms, FINRA arbitration provides a streamlined forum for resolving disputes. The process is generally faster and less formal than court litigation, with decisions rendered by arbitrators familiar with securities laws and industry practices. However, it’s important to be aware that statutes of limitations apply – typically six years from the date of the events giving rise to the claim.
Securities Class Actions
In cases where numerous investors suffered similar harm from the same misconduct, class action lawsuits may provide an efficient recovery mechanism. This approach allows investors to pool resources and pursue claims collectively, particularly valuable when individual losses might not justify the cost of individual litigation.
Securities Fraud Litigation
For significant losses or cases with particularly egregious misconduct, individual securities fraud litigation may be appropriate. These claims can be brought in state or federal court and may allow for additional remedies not available in arbitration, including punitive damages in certain circumstances.
Regulatory Restitution
Though not directly initiated by investors, regulatory actions like those brought by FINRA sometimes result in restitution funds being established for harmed investors. If you believe you were harmed by Baron’s conduct, contacting regulatory authorities may help ensure you’re included in any restitution programs.
Red Flags for Investors to Consider
The allegations against Keith Craig Baron highlight several red flags that all investors should be vigilant about when working with financial professionals:
- Undisclosed business relationships – Financial advisers should fully disclose any relationships with companies they recommend for investment
- Promises of unusually high returns with minimal risk – Investment opportunities that sound too good to be true often are
- Pressure to act quickly – Legitimate investments rarely require immediate decisions; high-pressure tactics often mask inadequate due diligence or disclosure
- Inadequate documentation – All legitimate investments should be accompanied by proper documentation, including risk disclosures and offering materials
- Recommendations that don’t align with your stated goals or risk tolerance – Suitable investment recommendations should reflect your specific financial situation and objectives
- Reluctance to involve other family members or advisers – Be wary if your adviser discourages you from consulting others about investment decisions, particularly for elderly investors
- Lack of transparency about fees and commissions – All costs associated with investments should be clearly disclosed upfront
Our Investment Fraud Recovery Practice
Our law firm specializes in representing investors who have suffered losses due to financial adviser misconduct, unsuitable investment recommendations, and securities fraud. We have extensive experience handling cases similar to those involving Keith Craig Baron and have recovered millions of dollars for our clients.
Our securities attorneys bring specialized knowledge and experience to these complex cases:
- In-depth understanding of securities laws and regulations
- Experience with FINRA arbitration procedures and rules
- Ability to analyze complex investment products and strategies
- Knowledge of industry standards and practices
- Access to expert witnesses who can evaluate damages and opine on appropriate standards of care
We handle all aspects of the investment recovery process:
- Comprehensive case evaluation to assess potential claims
- Detailed analysis of investment losses and damages
- Strategic planning for optimal recovery approach
- Preparation and filing of claims or complaints
- Representation through all phases of arbitration or litigation
- Settlement negotiations when appropriate
- Trial or final hearing advocacy when necessary
Contact Us for a Free Consultation
If you or a family member invested with Keith Craig Baron at any point during his career and experienced losses or have concerns about how your investments were handled, we encourage you to contact our experienced investment fraud attorneys for a confidential, no-obligation consultation.
Our attorneys will:
- Listen carefully to your situation
- Review your investment documents and account statements
- Provide an honest assessment of potential claims
- Explain your legal options in clear, straightforward terms
- Recommend the most appropriate course of action
- Answer all your questions without pressure or obligation
There is no cost for the initial consultation, and we handle most investment fraud cases on a contingency fee basis, meaning you pay no attorney fees unless we recover money for you.
Time limitations apply to investment fraud claims, so don’t delay in seeking professional advice about your potential recovery options.
Call 800-950-6553 or complete our online form to schedule your no-obligation case evaluation.
Disclaimer: The information provided in this article is based on publicly available records and allegations that have not been proven in a court of law. All individuals are presumed innocent until proven guilty. This article is for informational purposes only and does not constitute legal advice.
