Charles Harper Bridgers of Wilson North Carolina a stockbroker formerly registered with Wells Fargo Clearing Services has been fined $10,000.00 and suspended from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity based upon consenting to findings that (1) trades were executed by Bridgers in the account of a Wells Fargo customer without the customer’s consent and (2) false information had been provided by Bridgers to the firm in regard to trades placed in a customer’s account. Letter of Acceptance Waiver and Consent No. 2018057553801 (Oct. 16, 2019).
According to the AWC, Bridgers serviced the account of a customer, CS, who died on January 6, 2018. The AWC stated that after the customer died, two municipal bond purchases or sales were placed in the customer’s account by the stockbroker. Bridgers lacked any authorization from the customer to effect the municipal bond trades in the customer’s account, and there was no written consent provided by CS prior to his death that authorized Bridgers to effect trades in the customer’s Wells Fargo account on a discretionary basis.
The AWC also stated that false records had been established by Bridgers through his unauthorized trading. In fact, the stockbroker’s notes had been placed into the securities broker dealer’s customer account management system which conveyed that the customer had spoken to Bridgers on January 9, 2018 and January 11, 2018 in regard to the stockbroker’s municipal bond trades. This was not possible as the customer’s death had occurred prior to that point. FINRA determined that the fake notes were created by Bridgers so that he could bypass restrictions or supervisory procedures of the firm and hide the fact that his trades lacked authorization from CS. FINRA found Bridger’s unfair, dishonest, or deceptive activities to be violative of MSRB Rule G-17.
Bridgers was discharged by Wells Fargo Clearing Services LLC on February 5, 2018 based upon allegations that the stockbroker effected unauthorized trades.
