(FINRA Case #2012034936005)

David Joseph Escarcega (CRD #4367584, Phoenix, Arizona) – A NAC (National Adjudicatory Council) Decision became final in which Escarcega was barred from association with any FINRA member in all capacities and ordered to disgorge $52,270, plus interest.

The NAC affirmed the sanctions and findings imposed by the Office of Hearing Officers (OHO). The sanctions were based on findings that Escarcega intentionally or recklessly made materially false misrepresentations in connection with the sales of renewable secured debentures to customers.

(FINRA Case #2016049233701)

William Roy Kimberlin (CRD #2242040, Plano, Texas) – An AWC (Accept, Wavier & Consent) was issued in which Kimberlin was assessed a deferred fine of $15,000 and suspended from association with any FINRA member in all capacities for 18 months.

Without admitting or denying the findings, Kimberlin consented to the sanctions and to the entry of findings that he solicited and accepted a total of $30,000 in loans from two customers in violation of his member firm’s procedures which prohibited accepting or giving loans to customers under all circumstances.

(FINRA Case #2015046728802)

Jay Dee Jordan (CRD #1776666, Oklahoma City, Oklahoma) – An AWC (Accept, Waiver & Consent) was issued in which Jordan was barred from association with any FINRA member in all capacities.

Without admitting or denying the findings, Jordan consented to the sanction and to the entry of findings that he recommended and executed hundreds of unsuitable purchases of non-traditional ETFs in his customers’ accounts.

(FINRA Case #2015046537501)

Walter Joseph Marino (CRD #2121623, Dix Hills, New York) – Marino was named in an amended FINRA complaint in which an additional cause of action was added to a FINRA complaint originally filed on April 24, 2017.

The amended complaint alleges that Marino recommended an unsuitable variable annuity surrender to a semi-retired customer without a reasonable basis for recommending the transaction. The amended complaint also alleges that Marino failed to conduct a reasonable investigation to determine whether the transaction would result in a surrender charge to the customer or the forfeiture of any benefits. In fact, the transaction resulted in a $6,980.52 surrender charge, and the forfeiture of an enhanced death benefit which exceeded the value of the variable annuity by approximately $28,000 and a lifetime income benefit that provided the customer with the ability to receive annual income payments of $24,305.73.

(FINRA Case #2016051447001)

Donald Lee Bergeron (CRD #2653896, Charlotte, North Carolina) – An AWC (Accept, Waiver & Consent) was issued in which Bergeron was assessed a deferred fine of $5,000 and suspended from association with any FINRA member in all capacities for 15 business days.

Without admitting or denying the findings, Bergeron consented to the sanctions and to the entry of findings that he improperly used discretion to place trades in a customer’s account, without receiving the customer’s written authorization to use discretion and without his member firm’s acceptance of the customer’s account as discretionary.

(FINRA Case #2016051495801)

Mathew M. Serth (CRD #5886278, Stone Ridge, Virginia) – An AWC  (Accept, Waiver & Consent) was issued in which Serth was assessed a deferred fine of $5,000 and suspended from association with any FINRA member in all capacities for three months.

Without admitting or denying the findings, Serth consented to the sanctions and to the entry of findings that he placed five orders to purchase securities in four customer accounts, without the customers’ authorization, knowledge or consent.

(FINRA Case #2016051945101)

Thomas H. Lawrence III (CRD #1839619, Chapel Hill, Tennessee) – Lawrence was named a respondent in a FINRA complaint alleging that he borrowed more than $39,000 from one of his securities customers, a retiree who was approximately 96 years old.

The findings stated that Lawrence promised to repay the loan in a year, but he never repaid any part of it.

(FINRA Case #2016049871601)

Jason Hunter Likens (CRD #4716661, Asheville, North Carolina) – An AWC (Accept, Waiver & Consent) was issued in which Likens was assessed a deferred fine of $10,000 and suspended from association with any FINRA member in all capacities for 15 months.

Without admitting or denying the findings, Likens consented to the sanctions and to the entry of findings that he borrowed $23,500 from two customers without disclosing the loans to his member firm or receiving its approval to borrow from the customers.

(FINRA Case #2013035817702)

Daniel Joseph Hushek III (CRD #4250117, Bradenton, Florida) – An AWC (Accept, Waiver & Consent) was issued in which Hushek was assessed a deferred fine of $10,000 and suspended from association with any FINRA member in any principal capacity for 15 months.

Without admitting or denying the findings, Hushek consented to the sanctions and to the entry of findings that he failed to adequately supervise the sales practice of a registered representative who recommended and engaged in unsuitable trading of non-traditional exchange-traded funds (ETFs).

(FINRA Case #2014040295201)

Carolina Financial Securities, LLC (CRD® #41970, Brevard, North Carolina) and Bruce Victor Roberts (CRD #1489110, Brevard, North Carolina) – An Office of Hearing Officers (OHO) decision became final in which the firm was fined $60,000 and the firm and Roberts were each served with a Letter of Caution.

The sanctions were based on findings that the firm made material misrepresentations and omissions in connection with the sale of securities. The findings stated that the firm recommended a funding entity’s senior secured notes to investors without conducting an investigation that was sufficient to provide a reasonable basis for determining that the notes were suitable for any investor.