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.

NAME REDACTED
AWC/2010022728801

NAME REDACTED executed mutual fund transactions in customers’ accounts without their knowledge or authorization.

In an effort to conceal his misconduct,  NAME REDACTED  falsified his member firm’s books and records. Also, he completed and submitted firm switch forms related to the unauthorized transactions he effected in the customers’ accounts and falsely represented that he had spoken to each of the customers and had obtained their authorization before executing the trades. NAME REDACTED provided false information relating to the reason why these customers authorized the transactions, and he knew at the time he made these written statements on firm documents that they were false.

NAME REDACTED altered the firm’s customer telephone call logs with respect to customers’ accounts to falsely show that he had spoken to each of the customers and obtained their authorization to effect the transactions.

Finally, NAME REDACTED accessed the firms’ internal system and changed the telephone number of some customers whose accounts he had effected the unauthorized transactions to incorrect telephone numbers.

NAME REDACTED: Barred

Tags: Mutual Funds