Alex Court Brown, a former registered representative with Fidelity Brokerage Services, LLC (Fidelity) of Jacksonville, Florida, submitted a Letter of Acceptance, Waiver and Consent in which he consented to, but did not admit to or deny, the entry of the Financial Industry Regulatory Authority’s (FINRA) findings that on seven different occasions, he used his business credit card for personal expenses. Mr. Brown then falsified his expense reports and submitted them to Fidelity. Alex Brown, of Bunnell, Florida, was allegedly reimbursed approximately $1,475.00 for his personal expenses. Mr. Brown’s misconduct violated FINRA Rule 2010, which relates to commercial honor and principles of trade. Consequently, Alex Brown was permanently barred from association with any FINRA member in any capacity.
Stockbrokers and other financial industry professionals have been known to engage in many types of fraudulent and unlawful behavior which violate industry rules and procedures. In order to protect investors from such misconduct, FINRA rules require brokerage firms to establish and implement a supervisory system. The implementation of the rules requires supervisors to monitor employees to ensure they comply with federal and state securities laws, securities industry rules and regulations, as well as the brokerage firm’s own policies and procedures. If broker-dealers and their supervisors do not establish and implement these protective measures, they may be held liable to investors for losses flowing from the misconduct. As a result, investors who have suffered losses stemming from a stockbroker or registered representative’s fraudulent and unlawful misconduct can bring forth claims to recover damages against brokerage firms like Fidelity, which have a duty to supervise its employees in order to prevent stockbroker misconduct.
Have you suffered losses in your investment account due to your stockbroker’s misconduct? If so, call Robert Pearce at the Law Offices of Robert Wayne Pearce, P.A. for a free consultation. Mr. Pearce is accepting clients with valid claims against stockbrokers for fraud, unsuitable recommendations and other illegal conduct.
The most important of investors’ rights is the right to be informed! This Investors’ Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. For over , Attorney Pearce has tried, arbitrated, and mediated hundreds of disputes involving complex securities, commodities, and investment law issues. The lawyers at our law firm are devoted to protecting investors’ rights throughout the United States and internationally! Please post a comment, call (800) 732-2889, send Mr. Pearce an email at firstname.lastname@example.org, and/or visit our website at www.secatty.com for answers to any of your questions about this blog post and/or any related matter.