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.

Katherine Eileen Weems
AWC/2007010251301

Weems improperly accepted about $250,000 in gifts from a client of a registered representative for whom she was working, in violation of her member firm’s prohibition of employees accepting gifts that would create the appearance of compromising business judgment and a conflict of interest. Weems did not obtain her member firm’s prior written approval for an exception from the firm’s policy. 

Katherine Eileen Weems: In light of Weems’ financial status, no monetary sanctions were imposed; Suspended 3 months in all capacities; Agreed to fully and freely cooperate with FINRA’s ongoing investigation, including providing truthful testimony if requested;