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.

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, according to a press release.

It is considered dishonest and unethical conduct under ACC rules and grounds for revoking a salesperson’s registration.

“The facts were clear,” Commissioner Rachel Walden said in the release. “Mr. Bonney was not authorized under his Financial Industry Regulatory Authority  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.”

In August 2022, FINRA 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.