Robert Kenneth Cargin

World Choice Securities, Inc. (CRD #30933, Columbus, Ohio) and Robert Kenneth Cargin (CRD #1825995, Westerville, Ohio)

July 15, 2026 – An AWC was issued in which the firm was censured and fined $28,000, and Cargin was fined $5,000 and suspended from association with any FINRA member in all capacities for four months. A lower fine was imposed against the firm after considering, among other things, its revenue and financial resources. Without admitting or denying the findings, the firm and Cargin consented to the sanctions and to the entry of findings that the firm failed to reasonably supervise the due diligence of a private real estate offering.

The findings stated that the firm failed to reasonably supervise whether the due diligence on the offering complied with the Care Obligation of Reg BI. The firm designated a firm representative as responsible for conducting the due diligence notwithstanding his affiliation with, and ongoing compensation from, the real estate development company. The firm approved sales of the offering without determining whether the due diligence was independent.

The findings also stated that the firm failed to establish, maintain, and enforce written policies and procedures reasonably designed to achieve compliance with Reg BI’s Care and Conflicts of Interest Obligations in connection with its recommendations to retail and non-retail customers to invest in private placements. The firm’s written procedures recited the general obligation to conduct private placement due diligence and listed the categories of information that may be considered as part of the due diligence. However, the WSPs failed to provide any other guidance or procedures for how to carry out the due diligence. In addition, the firm’s WSPs required its chief compliance officer (CCO) to review the firm’s business lines to determine if conflicts of interest exist and to ascertain how conflicts of interest will be mitigated. However, the WSPs did not provide any guidance or procedures to assist the CCO in carrying out these responsibilities.

The findings also included that the firm distributed communications that included erroneous and/or misleading information that failed to identify risks associated with the offering. FINRA found that the firm failed to timely file with FINRA a private placement memorandum, term sheet, or any other required document relating to the offering until 17 months after the first sale. FINRA also found that Cargin executed 19 approval forms for private securities transactions (PSTs) that were dated between November 2021 and August 2022, when the transactions had occurred, which created the inaccurate impression that Cargin had pre-approved these transactions when he had not.

The suspension is in effect from August 5, 2026, through December 4, 2026. (FINRA Case #2022076766203)

If you have suffered losses as a result of Robert Kenneth Cargin’s act and/or actions, we would like to hear from you. We are currently investigating claims on behalf of clients who have suffered significant losses in their portfolios that are managed by Robert Kenneth Cargin The Schwartz Law Firm represents investors in claims against financial advisors and their firms. If you have questions about your potential claim or need assistance from an investment fraud lawyer, please contact us at 866-330-6707 or email Matthew Schwartz directly at mschwartz@tslfirm.com.