Charles Ernest Kenahan of Boston Massachusetts a stockbroker formerly registered with Merrill Lynch Pierce Fenner Smith Incorporated has been barred from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity founded on findings that he failed to cooperate with FINRA investigators regarding his sales practices. Letter of Acceptance Waiver and Consent No. 2018058015701 (Jan. 22, 2021).
According to the AWC, FINRA received word from Merrill Lynch that it discharged Kenahan because of its loss of confidence and trust in the stockbroker given his misconduct in customer accounts. The securities broker dealer indicated that Kenahan allegedly provided unsuitable advice to customers and made excessive and unauthorized trades in their accounts.
On December 15, 2020, Kenahan was asked by FINRA to provide documents and information and to testify about the accusations made by Merrill Lynch. Kenahan informed FINRA on January 8, 2021 that he got those requests but would not be complying with them. Kenahan’s failure to cooperate with the regulator constituted the violation of FINRA Rules 2010 and 8210.
Kenahan has also been barred by New Hampshire Bureau of Securities based upon allegations of his sales practice violations. Consent Order No. COM2019-000 (Dec. 7, 2020). According to the Consent Order, Kenahan was accused of executing excessive and unsuitable exchange traded funds transactions. The regulator also alleged that Kenahan mismarked customers’ tickets and made unauthorized trades. Kenahan allegedly overcharged customers on these transactions.
Kenahan has been identified in five customer initiated investment related disputes concerning accusations of his improper conduct during the time that he was employed by Merrill Lynch. FINRA Public Disclosure confirms that he is the subject of a customer initiated investment related complaint in which the customer requested $148,353.00 in damages based upon allegations of his poor investment recommendations and his misrepresentations to the customer concerning equities.
Kenahan is the subject of a customer initiated investment related FINRA securities arbitration claim on March 13, 2018 where the customer received $40,000,000.00 in compensatory damages founded on allegations that between 2012 and 2017, misrepresentations had been made to them concerning stocks and equities. FINRA Arbitration No. 18-00974 (June 11, 2019). The claim also alleges excessive trading by the stockbroker.
Another customer initiated investment related FINRA securities arbitration claim involving Kenahan’s activities was settled for $24,250,000.00 in damages supported by accusations that between December of 2007 and February of 2018, Kenahan made unauthorized and excessive trades in the customer’s account. FINRA Arbitration No. 19-00466 (Dec. 1, 2020). The claim also alleges that the stockbroker’s investment recommendations were unsuitable.
Kenahan was registered with Merrill Lynch between December 7, 2007 and July 9, 2019.
