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.

John Henry Fernandez
AWC/2009019405801

Fernandez borrowed a total of $30,000 from an elderly customer contrary to his member firm’s policy, which prohibited borrowing from customers who are not immediate family members. Fernandez failed to disclose the loans to his member firm and did not repay them until the firm discovered the loans after the customer complained. Fernandez then repaid the entire loan with $2,105 in interest.

John Henry Fernandez : Censured; Fined $5,000; Suspended 45 days

Tags: Borrowing