FINRA announced last month that it has barred Charlotte, North Carolina based financial advisor Christopher J. Carpenter. The FINRA Letter of Acceptance, Waiver, and Consent states that Mr. Carpenter failed to produce documents or information requested in response to a FINRA investigation. The investigation allegedly was initiated in response to a Uniform Termination Notice for…
Continue reading ›The online FINRA Brokercheck report for former Western International broker Chris Kennedy shows eleven different customer complaints. These complaints include allegations of unauthorized trading, unsuitability, breach of fiduciary duty, and other wrongful conduct. Many of the complaints have been settled, with one settled for over 2.7 million dollars. The Brokercheck report also states that Western…
Continue reading ›FINRA recently suspended an Edward Jones financial advisor from Sunset Beach, California for borrowing money from a customer without firm authorization. The FINRA Letter of Acceptance, Waiver and Consent against Scott P. Smith can be found here. According to the AWC, Mr. Smith borrowed money in five different loans from a single customer without advising…
Continue reading ›New Jersey securities broker Carz Levinski Craffey (aka Caz Craffy) was recently barred from the securities industry by securities regulator FINRA. Mr. Craffy had been registered with Monmouth Capital Management and previously was registered with Newbridge Securities Corp. Mr. Craffy’s Brokercheck report from FINRA discloses that he was discharged by Monmouth for failing to “disclose…
Continue reading ›After being charged by the SEC with Regulation Best Interest violations relating to GWG, Western International Securities has now been censured and fined by FINRA for a different alternative investment product – non traded REITs. REITs – Real Estate Investment Trusts – are investment companies that invest in a portfolio of various real estate properties.…
Continue reading ›FINRA censured, fined, and ordered restitution payments from Philadelphia, Pennsylvania based Janney Montgomery Scott last month. The Letter of Acceptance Waiver and Consent (AWC) discussed how two of Janney’s advisors “recommended that 11 customers unsuitably concentrate their accounts in certain energy-sector securities, including master limited partnerships focused on the exploration or development of natural resources”…
Continue reading ›FINRA recently issued a Letter of Acceptance, Waiver, and Consent relating to J.P. Morgan broker Edward Turley from San Francisco, California that resulted in Mr. Turley being barred from the securities industry by FINRA. The letter alleges that Mr. Turley has been registered with J.P. Morgan Securities LLC since 2009, and that he was terminated…
Continue reading ›The United States Securities Exchange Commission (SEC) recently issued a Staff Bulletin which discussed the use of sales contests or other sales incentives by FINRA Broker-Dealer firms in the context of SEC Regulation Best Interest (Reg BI). Reg BI, 17 CFR 240-15l-1, specifically describes the “best interest” obligation as follows in section (a)(1): “A broker,…
Continue reading ›Shawn Edward Good, who was a registered broker with Morgan Stanley it its Wilmington, North Carolina office, was recently barred by FINRA by consent agreement. Mr. Good also has a pending SEC Complaint against him alleging the following involvement in a ponzi scheme: From 2012 until 2022 Mr. Good solicited customers to transfer funds to…
Continue reading ›The U.S. Department of Labor has sounded a warning regarding 401(k) plan investments in cryptocurrencies. In Compliance Assistance Release No. 2022-01 (issued March 10, 2022), 401(k) plan fiduciaries are urged to “exercise extreme care before they consider adding a cryptocurrency option to a 401(k) plan’s investment menu for plan participants.” Because of the risks and…
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