Eric Peter Poague of Bradford Pennsylvania a stockbroker formerly registered with Edward Jones has been barred from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity founded on accusations that he “failed to provide information to FINRA personnel that was requested of him.” Case No. 2017055577901 (Mar. 16, 2018).
FINRA can do this. It can do it for any reason. Anyone who does not cooperate with any FINRA investigations is suibject to a permanent bar from the securities industry under FINRA Rule 8210 – requiring that no member or person shall fail to provide information or testimony or permit an inspection and copying of books, records, or accounts pursuant to the rule.
Usually, the broker is terminated for cause by an employer, and FINRA will seek information concerning the reasons for the broker’s termination, which may include operating a Ponzi scheme through the failure to follow “firm policies and procedures.” Some cases the firm simply looses “trust and confidence” of the broker being terminated.
FINRA will of course investigate terminations for cause. FINRA Rule 4530 requires firms to report specified events; quarterly statistical and summary information regarding written customer complaints; and copies of specified criminal and civil actions.
There is also a duty to amend or update filings even after a broker’s termination for conduct occuring during the time of their associaiton with the member. For example, after termination the broker is discovered to have been a serial killer or has operated a Ponzi scheme during the period of their association, the broker’s registration will be amended.
FINRA will also investigate the filing of customer initiated, investment related complaints.
However, Poague was not terminated for cause, and was not subject to any customer complaints.
FINRA Public Disclosure confirms that Poague is referenced in three customer initiated investment related disputes including one twenty years ago pertaining to allegations of his violative conduct during the time that he was associated with Edward Jones. Specifically, on June 21, 1998, a customer filed an investment related complaint concerning Poague’s conduct where the customer sought more than $5,000.00 in damages supported by accusations that the customer’s instructions of selling stock shares had not been followed.
A customer initiated investment related arbitration claim concerning Poague’s conduct was settled for $7,000.00 in damages based upon allegations that Poague misrepresented the fees charged to the customer; violation of Pennsylvania securities laws; negligence; breach of fiduciary duty; breach of contract; and fraud in reference to equities transactions effected in the customer’s account. National Association of Securities Dealers (NASD) Arbitration No. 03-06006 (Jan. 18, 2005). Poague, inter alia, reportedly told the customer that the charge was $50.00 for each trade when the customer had been charged four times that amount; and Poague failed to sell the customer’s holdings when the customer requested.
On December 17, 2008, another customer filed an investment related complaint regarding Poague’s activities in which the customer alleged that Poague failed to place the customer’s funds in more conservative positions after the customer suggested that the account be reallocated; the customer reportedly sustained $80,000.00 in account value declines.
Poague’s registration with Edward Jones was been terminated as of August 24, 2017.
FINRA did not decide to bar him for failure to cooperate until March 16, 2018.
The information contained herein has been obtained from reliable sources however may not be accurate and is not guaranteed by us. Readers are encouraged to undertake their own independent investigation and evaluation of the relevant facts. All claims and allegations are subject to adjudication, decisions may be subject to appeal, and no inference is intended, nor should any inference be made from any information contained herein from any source.
This posting and the information on our website is for general information purposes only. This content should be not considered legal advice, and any responses, comments, e-mails, other communications do not form any attorney client relationship. Attorney Advertisement. See Important Disclaimer
Guiliano Law Group
Our practice is limited to the representation of investors. Over the last three decades, we have recovered over a hundred million of dollars for more than 1,000 injured investors from all over the United States, and from all over the World. We accept representation on a contingent fee basis, meaning there is no cost to you unless we make a recovery for you. There is never any charge for a confidential consultation or an evaluation of your claim. For more information, contact us at (877) SEC-ATTY.
For more information concerning common claims against stockbrokers and investment professionals, please visit us at securitiesarbitrations.com
To learn more about FINRA Securities Arbitration, and the legal process, please visit us at securitiesarbitrations.com
