NOTE: Stipulations of Fact and Consent to Penalty (SFC); Offers of Settlement (OS); and Letters of Acceptance Waiver, and Consent (AWC) are entered into by Respondents without admitting or denying the allegations, but consent is given to the described sanctions & to the entry of findings. Additionally, for AWCs, if FINRA has reason to believe a violation has occurred and the member or associated person does not dispute the violation, FINRA may prepare and request that the member or associated person execute a letter accepting a finding of violation, consenting to the imposition of sanctions, and agreeing to waive such member's or associated person's right to a hearing before a hearing panel, and any right of appeal to the National Adjudicatory Council, the SEC, and the courts, or to otherwise challenge the validity of the letter, if the letter is accepted. The letter shall describe the act or practice engaged in or omitted, the rule, regulation, or statutory provision violated, and the sanction or sanctions to be imposed.

Kenn Arden Hugos
AWC/2008016344401

Hugos executed transactions in a customer’s account without the customer’s knowledge or consent, and subsequently received a complaint from the customer regarding the transactions. Hugos settled the complaint by personally reimbursing the customer $353.55 for costs and commissions associated with the transactions. Hugos did not report the complaint to his member firm or seek the firm’s approval to settle the matter.

Kenn Arden Hugos : Fined $10,000; Suspended 20 business days