Roy Aurelio Gaytan, of Moorpark, California, submitted a Letter of Acceptance Waiver and Consent (AWC) to the Financial Industry Regulatory Authority (FINRA) in which he was fined and suspended for unauthorized trading.
In January 2012, Gaytan was registered as a representative of Transamerica Financial Advisors, Inc. until June 2017. During this period, Gaytan allegedly recommended that his customer establish a self-directed account with another firm. The customer then gave him de facto control over his account and he began using discretionary authority to execute securities transactions in the customer’s brokerage account at another firm. After sustaining losses in the account, the customer complained to Gaytan’s firm. Per FINRA, when questioned Mr. Gaytan admitted to executing discretionary trades in the account without providing disclosure to both firms resulting in his termination. Because of the foregoing conduct, Gaytan violated NASD Conduct Rule 3050(c) and FINRA Rule 2010. FINRA stated that Gaytan also violated rule 8210 by failing to respond to letters requesting information (Any person subject to FINRA’s jurisdiction must provide information if requested with respect to any matter involved in the investigation, complaint, examination, or proceeding.) Continue Reading