FINRA has barred Christopher Tolmacs of Portage, Michigan, alleging that the broker borrowed client funds. The providing of loans or selling of promissory notes and other investments outside of a brokerage firm constitutes impermissible private securities transactions, a practice called “selling away.” According to FINRA, Tolmacs consented sanctions in the form of a permanent bar because he failed to provide documents and information requested by FINRA during the course their investigation into allegations that he borrowed funds from multiple customers.At this time it unclear the nature and scope of Tolmacs’ outside business activities and private securities transactions. However, according to Tolmacs’ public records his outside business activities includes Harbinger Financial Group, Inc., listed as an insurance agency, and Harbinger Asset Management, Inc., which is listed as a registered investment advisory firm. Many times, brokers sell promissory notes and other investments through side businesses as accountants, lawyers, or insurance agents to clients of those side practices. In addition, Tolmacs has been subject to significant tax liens totaling over $225,000 in late 2015. Tax liens and judgments can provide an economic incentive to brokers to violate the securities laws to garner higher commissions and income. Tolmacs entered the securities industry in 2003. From April 2008 until March 2016, Tolmacs was associated with Triad Advisors, Inc. If you or someone you know has lost money as a result of an investment or Ponzi scheme, please contact Richard Frankowski at 888-741-7503 to discuss your potential legal remedies or complete the contact form.