Terrence Jeffrey Diehl, of Boston, Massachusetts, a stockbroker formerly registered with LPL Financial, LLC, has been fined $10,000.00 and handed a nine-month suspension from associating with any FINRA member in any capacity by consenting to findings that he sold away from his firm and lied about it when LPL Financial, LLC questioned him. Letter of Acceptance, Waiver and Consent, No. 2016050457601 (Oct. 10, 2017).
According to the AWC, between January of 2016 to May of 2016, shares of a natural products and nutritional supplement company had been sold by Diehl in a private offering on a third party’s behalf. Apparently, Diehl facilitated three of the firm’s customers’ investments totaling $500,000.00 through the private securities offering.
The AWC stated that Diehl educated the customers about the company, evaluated the customers’ purchase agreements, and facilitated the movement of paperwork and customer monies with the sellers of the company. Because of Diehl’s involvement in the transactions, he was paid $37,500.00. However, the transactions were never made known by Diehl to his firm before engaging in them. FINRA concluded that Diehl sold away from his firm as a result; conduct violative of FINRA Rules 2010 and 3280.
The AWC further revealed that documents regarding at least two customers’ investments in the nutritional supplement company had been furnished to LPL Financial by Diehl, where he falsely represented that he did not participate, recommend or somehow solicit each customer’s purchase, and lied about not having received compensation stemming from the customers’ purchases. FINRA found Diehl’s failure to be forthcoming in that regard to constitute violations of FINRA Rule 2010.
Diehl was fired by LPL Financial on May 26, 2016, based upon allegations that he sold away from his firm. FINRA Public Disclosure reveals that Diehl has also been identified in a customer initiated investment related dispute on February 18, 1999, where the customer alleged that Diehl failed to follow the customer’s instructions.
Guiliano Law Group
Our practice is limited to the representation of investors. 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 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
