Securities Arbitration Lawyers Blog

FINRA Bars Registered Individuals in May 2017 for Failing to Comply with FINRA Rules

June 19, 2017 | Silver Law Group

According to FINRA Disciplinary actions for May 2017, the following individuals were barred from FINRA and cannot currently work for a FINRA brokerage firm for failing to provide FINRA with information it requested or to keep information current with FINRA pursuant to FINRA rules:

NAME	FORMER EMPLOYERS
Philip Bagalanon
Terry Dean Bahgat	Gradient Securities, LLC
Terry Dean Bahgat	Cambridge Investment Research, Inc.
Patrick Hugh Dowd	Pruco Securities, LLC
John Scott Elliott	Ameriprise Financial Services, Inc.
Joseph Adam Giardina	Allstate Financial Services, LLC
Ryley Grosso	Infinex Investments, Inc.
Ryley Grosso	PFS Investments Inc.
Larry Anthony Ham	J.P. Morgan Securities LLC
Larry Anthony Ham	Chase Investment Services corp.
Lystra C. Moore-Besson	HSBC Securities (USA) Inc.
Lystra C. Moore-Besson	HSBC Brokerage (USA) Inc.
Ryan Edward O’Neal Jr.
Karrie Renee Parrett	Independent Financial Group LLC
Karrie Renee Parrett	Invest Financial Corporation
Brian Thomas Perry	Ameriprise Financial Services, Inc.
Brian Thomas Perry	IDS Life Insurance Company
Meaghan Mary Rumsey	IFS Securities
Meaghan Mary Rumsey	Cadaret, Grant & Co., Inc.
Joshua James Shelby	J.P. Morgan Securities LLC
Joshua James Shelby	Chase Investment Services Corp.
Donald Lee Watson Jr.	The Jeffrey Matthews Financial Group, LLC
Donald Lee Watson Jr.	Stifel, Nicolaus & Company, Inc.
Mark Nicholas Wesley	Ameriprise Financial Services, Inc.
Mark Nicholas Wesley	IDS Life Insurance Company
Terrance Jerome Wilkerson	First Financial Equity Corporation
Terrance Jerome Wilkerson	Merrill Lynch, Pierce, Fenner & Smith Inc
Gregory Allen Zale	LPL Financial LLC
Gregory Allen Zale	Royal Alliance Associates, Inc.

Silver Law Group represents investors in securities and investment fraud cases through FINRA arbitration or court. Our lawyers are admitted to practice in New York and Florida and represent investors nationwide in securities arbitration to help recover investment losses due to stockbroker misconduct. If you have any questions about how your account has been handled, call to speak with an experienced securities attorney. Most cases handled on a contingent fee basis meaning that you do not pay legal fees unless we are successful.

Reuters Analyzes FINRA BrokerCheck Data to Compile List of High-risk Brokerage Firms After FINRA Fails to Disclose Said Information

June 16, 2017 | Silver Law Group

A Reuters investigation team ran a story on June 12, 2017 concerning high-risk brokers and brokerage firms and compiling a list of the firms with highest percentage of brokers with BrokerCheck disclosures.

The FINRA BrokerCheck tool allows users to search specific brokerage firms and brokers to see a variety of information such as location, ownership, outside business activities and, most importantly, FINRA disclosures.

There are a total of 23 types of incidents that might give investors concern, such as regulatory sanctions, lawsuit judgments and bankruptcies. Unfortunately, the information, while very helpful, leaves out bulk information about which brokerage firms have a higher percentage of brokers reporting these incidents.

Santander Securities, LLC Broker Joan Marie Larsen Is Permanently Barred by FINRA

June 12, 2017 | Silver Law Group

Career-ending move involves reports of accepting a loan from an elderly customer

New Jersey-based broker Joan Marie Larsen’s financial industry career is over after she was reported to have accepted a loan from an elderly customer.

In this case, Larsen allegedly accepted a $50,000 interest-free personal loan from an elderly client who was not an immediate family member. An investigation by the Financial Industry Regulatory Authority (FINRA) found that “Larsen’s member firm did not have written procedures permitting such a loan.” In addition, Larsen only paid $3,000 on the loan, leaving $47,000 still due to the customer.

Raul Enrique Jacobs’ Short Brokerage Career is Over

June 9, 2017 | Silver Law Group

He has been permanently banned by FINRA due to reports of power of attorney fraud

After only three years as a broker, Raul Enrique Jacobs needs to find another line of work. In February, the Financial Industry Regulatory Authority (FINRA) permanently barred him from acting as a broker in any capacity.

Jacobs worked for three firms, starting in January of 2012 with MetLife Securities Inc. in Orland Park, IL. In May of that year, he began working for Waddell & Reed, also in Orland Park. Jacobs then moved on to T2 Asset Management, LLC in February of 2015. He was fired from T2 when it was discovered that he had power of attorney over an outside elderly client that he didn’t tell the firm about. Jacobs later admitted that he had stolen client funds to use for his own personal benefit, which ultimately led to FINRA making its ruling.

Woodstock Financial Group, Inc. Broker William Bruckner Fined and Suspended by FINRA

June 9, 2017 | Silver Law Group

Allegations of mismarking solicited trades as unsolicited follow this West Palm Beach broker from firm to firm.

William Bruckner is accused of mismarking solicited trades as unsolicited and by doing so, violating his member-firm policy.

Originally employed by Sanford C. Bernstein & Co., LLC in West Palm Beach, Florida from February 2010 to July 2012, Bruckner moved on to employment with Merrill Lynch, Pierce, Fenner & Smith Incorporated in Palm Beach, Florida from July 2012 to May 2016.

Jeffrey Marc Grayson Suspended After Allegations of Discretionary Trading

June 9, 2017 | Silver Law Group

The New Jersey broker is also reported to have lied about his actions

Jeffrey Marc Grayson was recently suspended by the Financial Industry Regulatory Authority (FINRA) after an investigation found that he exercised discretion in four customer accounts without written approval from the customers. In addition, Grayson reportedly did not get permission from his member firm and he is alleged to have lied about his use of discretion on compliance documents.

Grayson didn’t admit or deny the finding, but he accepted FINRA’s two-month suspension, along with a $10,000 fine.

Former Ameriprise Broker William B. Wyman Under Investigation Over Allegations of Selling Unapproved Investments

June 6, 2017 | Silver Law Group

Silver Law Group is investigating form Palm Bay, Florida-based Ameriprise Financial Services, Inc. (CRD# 6363) broker William B. Wyman (CRD# 4155621) after allegations that he sold away from his employing firm surface.

According to Wyman’s FINRA BrokerCheck report, FINRA barred Wyman in January 2017 after he failed to request termination of his suspension after his suspension period ended. Accordingly, FINRA automatically barred him from associating with any FINRA member in any capacity.

Wyman’s most recent BrokerCheck disclosure is a customer complaint that alleges negligence and that Wyman sold the customer an unapproved investment outside the brokerage firm. The complaint alleges almost $100,000 in damages.

FINRA Fines Cetera Almost $2 Million for Mutual Fund Sales Charge Violations

June 6, 2017 | Silver Law Group

FINRA entered into a settlement with Cetera Advisor Networks LLC (CRD# 13572) over improprieties related to mutual sales fund charge waivers.

According to the Acceptance, Waiver and Consent (“AWC’) entered into between Cetera and FINRA, Cetera disadvantaged certain retirement plan and charitable organization customers that were eligible to purchase certain shares in mutual funds without a front-end sales charge. Instead, Cetera sold these customers shares with front-end or back-end sales charges and higher ongoing fees and expenses.

Cetera did not waive the additional mutual fund sales charge even though customers qualified for it and, according to the AWC, Cetera carried on this conduct between July 2009 and January 2017.

Former Metlife Broker Brian P. Murphy Under Investigation Over Outside Business Allegations

June 6, 2017 | Silver Law Group

Silver Law Group is investigating former Pennsylvania-based Metlife Securities Inc. (CRD# 14251), also known as MSI Financial Services, Inc., broker Brian P. Murphy (CRD# 2953503) over allegations that he conducted outside business activities without the permission of his firm.

According to Murphy’s FINRA BrokerCheck report, Signator Investors, Inc. (CRD# 468) terminated Murphy after Murphy allegedly admitted to conducting an unapproved, outside business activity. FINRA barred Murphy in October 2016 after Murphy failed to respond to a FINRA inquiry.

The discharge follows five other disclosures on his BrokerCheck report. In 2000, Murphy was permitted to resign from his employing firm. In November 2014, Metlife terminated Murphy after he allegedly represented that he had a professional designation that he had not earned. In December 2015, a customer dispute alleging misrepresentations of variable annuities was settled for the full amount demanded.

West Palm Beach, Florida Broker William T. Eaton Under Investigation After FINRA Suspends Him

June 6, 2017 | Silver Law Group

Silver Law Group is investigating former Florida-based LPL Financial LLC (CRD# 6413) and Wells Fargo Advisors, LLC (CRD# 19616) (Also known as Wells Fargo Clearing Services) broker William T. Eaton (CRD# 3058469) after FINRA suspended him.

According to Eaton’s FINRA BrokerCheck report, FINRA suspended Eaton from acting as a broker in September 2016. Eaton allegedly failed to comply with an arbitration award or settlement agreement or to satisfactorily respond to a FINRA request to provide information concerning the status of compliance.

LPL Financial employed Eaton from August 2015 to November 2016 at its West Palm Beach, Florida location. Wells Fargo Advisors employed Eaton from April 2013 to August 2015 at its Wellington, Florida location. Prior to Wells Fargo and LPL Financial, Suntrust Investment Services, Inc. (CRD# 17499) employed Eaton from July 2011 to April 2013 at its Delray Beach, Florida branch.