Investor Alert: Investigation into Fraud Allegations Against Howard Dennis Kavinsky

Public records recently made available by the Financial Industry Regulatory Authority (FINRA) have raised significant red flags regarding the professional conduct of Howard Dennis Kavinsky (CRD# 5881623). Mr. Kavinsky, who was previously registered with several firms including B. Riley Wealth Management and National Securities Corporation, is currently permanently barred from the securities industry.

At Halling & Cayo, S.C., our securities attorneys are interested in talking to investors who may have claims related to Mr. Kavinsky’s conduct. According to his public BrokerCheck report, his career has been marked by a series of alarming disclosures, including regulatory actions, customer disputes, and a recent discharge from his firm.

Falsified Account Statements and Fictitious Investments

On December 20, 2024, FINRA officially barred Mr. Kavinsky after findings revealed that he falsified at least 190 consolidated account statements for at least eight customers. The findings state that Kavinsky:

• Overstated customer account balances.
• Reflected fictitious investments in a hedge fund that did not exist.
• Provided false and misleading information to FINRA during their investigation.

This regulatory action followed his discharge from B. Riley Wealth Management in May 2024. The firm alleged that he failed to follow procedures regarding client reports, misrepresented account values, and created unfounded customer statements purportedly from a clearing firm.

Significant Customer Disputes

Beyond the regulatory bar, Mr. Kavinsky’s record includes several pending customer disputes with substantial alleged damages:

• $2,000,000 Claim: A pending arbitration alleges that Kavinsky created fraudulent account statements, churned the client’s account, and mismanaged funds.
• $1,400,000 Claim: Another pending dispute involves similar allegations of fraudulent statements and mismanagement.
• $760,000 Settlement: A prior dispute involving missing funds and inaccurate account balances was settled for $150,000 in October 2025.

How the FINRA Arbitration Process Works

When a broker like Mr. Kavinsky is accused of “churning” (excessive trading to generate commissions) or creating fraudulent statements, investors don’t typically go to a traditional court. Instead, most investment agreements require disputes to be settled through FINRA arbitration.

This process is designed to be more efficient than court, but it is a formal legal proceeding where your “judge and jury” is a panel of neutral arbitrators. The process generally involves:

1. Filing a Statement of Claim: Outlining the specific wrongs and the financial losses you’ve suffered.
2. Discovery: Both sides exchange documents, such as internal firm emails and official account records, to uncover the truth.
3. The Hearing: Your attorney presents evidence and witness testimony to the panel.

We Are Here to Help

Brokers have a fundamental duty to provide honest advice and accurate reporting. When those duties are breached, the financial and emotional toll on investors—especially seniors—can be devastating.

The securities attorneys at Halling & Cayo, S.C. are currently reviewing the details of these public records. If you were a client of Howard Kavinsky and are concerned about missing funds, inaccurate statements, or unsuitable trading in your account, we are interested in talking to you.

Contact Us