From at least January 2016 through November 2022, Velocity Capital failed to: (i) reasonably evaluate six disclosed outside business activities (OBAs) in violation of FINRA Rules 3270.01 and 2010; (ii) reasonably respond to red flags that representatives were engaged in undisclosed OBAs in violation of FINRA Rules 3110 and 2010; and (iii) reasonably supervise four private securities transactions (PSTs) in violation of FINRA Rules 3280 and 2010.

Between January 2022 and August 2023, Arnoldussen violated FINRA Rules 4511 and 2010 by mismarking as unsolicited 1,399 order tickets for securities transactions that he recommended to his customers. For this violation, Arnoldussen is suspended for two months in all capacities and fined $10,000.

Cruz refused to provide information and documents requested by FINRA pursuant to FINRA Rule 8210, in violation of FINRA Rules 8210 and 2010. For these violations, Cruz is barred from associating with any FINRA member in all capacities.