Michael Roger Griffith, a broker formerly employed by the Timonium, Maryland branch of NYLIFE Securities, LLC, submitted a letter of Acceptance, Waiver, and Consent (AWC) in which he consented to, but did not admit to or deny, the described sanction and the entry of the Financial Industry Regulatory Authority’s (FINRA) findings that he forged a customer’s signature on fictitious life insurance applications without the customer’s knowledge or consent.
Michael Griffith, of Middle River, Maryland, was found by FINRA to have submitted fictitious life insurance applications in which he forged the customer’s signature and set up an automatic bank account debit for the policies. Mr. Griffith is alleged to have done all of this without the customer’s knowledge or permission. As a result of Mr. Griffith’s fraudulent misconduct, the customer’s account was debited $1,220 which prompted the customer to contact NYLIFE Securities. The fake policies were then canceled, and the customer was repaid the money. Mr. Griffith’s actions caused him to be in violation of FINRA Rule 2010. Consequently, FINRA barred him from association with any FINRA member in any capacity.
Stockbrokers, registered representatives, and other financial industry professionals have been known to engage in many types of fraudulent and unlawful behavior, such as forgery of documents and/or unauthorized transfers of funds, which violate industry rules and procedures. In order to protect investors from such misconduct, FINRA rules require broker-dealers to establish and implement a reasonable 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 liable to account holders for losses flowing from the misconduct. Therefore, investors who have suffered losses stemming from account document falsifications and/or forgery resulting in unauthorized transfers of funds by their broker can bring forth claims to recover damages against broker-dealers, like NYLIFE Securities, which should consistently oversee its brokers’ activities in order to prevent the above-described prohibited conduct.
Have you suffered losses in your NYLIFE Securities account due to unauthorized activity by your broker? 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 NYLIFE Securities stockbrokers who may have engaged in misconduct and caused investment losses.
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 35 years, 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 visit our website, www.secatty.com, post a comment, call (800) 732-2889, or email Mr. Pearce at email@example.com for answers to any of your questions about this blog post and/or any related matter.