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.

Stephen Paul Leary
AWC/2008011999901

Leary submitted false expense reports to his member firm requesting reimbursement of expenses he represented as bona fide business expenses that he had incurred and paid relating to his employment at the firm. The expense reports were false in that they included expenses that Leary had not incurred and paid, or had not incurred in furtherance of his firm’s business. In connection with certain expenses on the reports that were not legitimate business expenses, Leary submitted receipts and/or other documentation purporting to substantiate the expenses that he either had fabricated or knew did not document bona fide business expenses. As a result of Leary’s false expense reports, his firm adjusted the type and amounts of income it reported for him in one year.

Stephen Paul Leary: Barred

Tags: Expenses