Phoenix, Ariz. —  The Arizona Corporation Commission has revoked the Arizona securities salesman registration of Darien Euclid Bonney of Scottdale, ordered him to pay $1.98 million in restitution and a $30,000 penalty for his dishonest and unethical conduct.

The Commission found Bonney engaged in “selling away,” which is the practice of a registered salesperson selling products that have not been approved by his or her dealer. It is considered dishonest and unethical conduct under Commission rules and grounds for revoking a salesperson’s registration. 

“The facts were clear,” said Commissioner Rachel Walden. “Mr. Bonney was not authorized under his FINRA licenses or his broker-dealer to engage in these practices. An advisor is responsible for their solicitations. His licensing limits him to only engage in transactions related to packaged investments, such as mutual funds, and only products authorized by his dealer who maintains the licensing. He agreed to the terms of being regulated when he registered with the Arizona Corporation Commission. The Commission has a Constitutional duty to protect consumers and ensure compliance with the law, which was fulfilled today."

In August 2022, the Financial Industry Regulatory Authority (FINRA), had permanently barred Bonney from association with any FINRA member in all capacities.

The Commission found Bonney solicited certain clients to invest in short-term bridge loans to benefit a startup company in which Bonney had an ownership interest. Bonney drafted and issued promissory notes to the investors, misrepresenting to them that the investment was a “no-risk deal” with double-digit, “guaranteed” investment returns.  

All documents relating to the administrative case can be found in the Corporation Commission's online docket at edocket.azcc.gov and entering docket number S-21263A-23-0233.