Oak Hills Securities, Inc. has agreed to pay a fine of $125,000 as a part of a settlement with the Financial Industry Regulatory Authority (FINRA).
From September 2019 to June 2024, Oak Hills was the exclusive placement agent in seven private placements sold on a best-efforts and all-or-none or part-or-none basis. In each offering, Oak Hills failed to terminate the offering and promptly return investor funds after the minimum contingency amounts had been reduced, in willful violation of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-9 thereunder, and in violation of FINRA Rule 2010.
In six private placement offerings between September 2019 and December 2020, Oak Hills failed to escrow investor funds in violation of Exchange Act § 15(c)(2), Rule I5c2-4 thereunder, and FINRA Rule 2010.
Finally, in two of the offerings, from November 2019 to February 2021, Oak Hills failed to timely file required documents with FINRA in violation of FINRA Rules 5123 and 2010.
On top of the $125,000 fine, Oak Hills has agreed to a censure.
Oak Hills has been a FINRA member since 2008. Located in Oklahoma City, Oklahoma, it has six registered representatives and one branch office. The firm conducts private placement and investment banking business, primarily selling Oklahoma tax credit direct participation investment programs.
