Subscribe to our mailing list

* indicates required







We seek to provide information, insights and direction that may enable the Financial Community to effectively and efficiently operate in a regulatory risk-free environment by curating content from all over the web.


Stay Informed with the latest fanancialish news.




Regulatory Sanctions

Broker Sanctioned Twice for Taking Customer Info to New Firm

May 25, 2018

by Howard Haykin


FINRA fined ($5K) and suspended (10 days) a former Edward Jones broker for improperly taking customers’ non-public personal information from his previous member firm, without the knowledge or consent of the firm or any customer.


Raymond James fined that same broker $15K and issued him a Letter of Admonishment after its new broker admitted his misconduct.


FINRA FINDINGS.    In the days leading up to his August 2014 departure from Edward Jones, the broker used his personal digital camera to take photographs of approximately 200 Edward Jones electronic client information pages relating to the clients he serviced at Edward Jones. These photographs contained non-public personal information of these clients, including date of birth, social security number, net worth, annual income and investment objectives. The broker used the non-public personal information to assist him with transitioning customer business to his new firm.


When his new firm, Raymond James, began to investigate his misconduct the broker initially denied taking any non-public personal information of Edward Jones customers, but he subsequently admitted his misconduct to his new firm. Raymond James fined him $15,000 and issued him a Letter of Admonishment. That said, the broker remains associated with Raymond James.


Regulation S-P generally prohibits disclosure of "non-public personal information about a customer unless the customer receives notice and an opportunity to opt out. Information is considered to be "non-public personal information" if it contains personally identifiable financial information about one or more consumers, including:
►    info a consumer provides to a B/D to obtain a financial product or service;
►    info about a consumer resulting from any transaction involving a financial product or service between a B/D and a consumer; or,
►    info a B/D otherwise obtains about a consumer in connection with providing a financial product or service to that consumer.


This case was reported in FINRA Disciplinary Actions for December 2017.

For details on this case, go to ...  FINRA Disciplinary Actions Online, and refer to Case #2016050700901.