FINRA has sanctioned eight firms and 10 individuals for selling interests in private placement offerings “without having a reasonable basis for recommending the securities,” the regulatory agency said in a statement. The sanctions included ordering more than $3.2 million in total restitution.

The firms and individuals sold interests in high-risk private placements such as those issued by Provident Royalties, Medical Capital Holdings, and DBSI. These private placements “ultimately failed, causing significant investor losses,” according to the statement.

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