Joseph Bert Feldman of Virginia Beach Virginia a stockbroker formerly registered with Merrill Lynch Pierce Fenner Smith Incorporated has been fined $5,000.00 and suspended for three months from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity based upon consenting to findings that he misrepresented his involvement in a customer’s trust specifically in reference to the compensation he derived from the customer for his investment related activities in the customer’s account. Letter of Acceptance Waiver and Consent No. 2016049120701 (July 15, 2016).
According to the AWC, the firm’s procedures prohibited Feldman from outside business activities including being a compensated trustee on a customer’s trust. Apparently, Feldman was compensated for trustee services he provided to the trust from 2014 to 2016. Throughout this time, Feldman reportedly submitted inaccurate attestations to the firm when completing the firm’s compliance questionnaires by indicating that he had not received any compensation from customers concerning any trustee services. FINRA found Feldman Feldman’s conduct violative of FINRA Rule 2010.
Further, a customer initiated investment related complaint involving Feldman’s conduct was settled for $4,770.50 in damages based upon accusations that between September of 2014 and February of 2016: (1) misrepresentations and omissions of information regarding closed end funds had been made to the customer and (2) the customer received bad investment advice concerning closed end funds.
Feldman was discharged by Merrill Lynch Pierce Fenner Smith on February 17, 2016 founded on allegations that he violated the firm’s policies concerning an outside business activity. Since March 9, 2016, Feldman has been employed by BB&T Securities LLC.
