Michael Douglas Hanke of Lutz Florida is a stockbroker formerly registered with Ameriprise Financial Services Inc. who has been fined $10,000.00 and suspended from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity by consenting to findings that he exercised discretion in a customer’s account without authorization and mismarked the customer’s order tickets as solicited. Letter of Acceptance Waiver and Consent No. 2015046918701 (Mar. 13, 2018).
According to the AWC, from February of 2015 to May of 2015, during the time that Mr. Hanke was employed with Ameriprise Financial Services Inc., he placed eight transactions in an Ameriprise customer’s account on a discretionary basis. Evidently, Hanke failed to procure written authorization from the customer. Additionally, the customer’s account was not approved by the firm to permit Mr. Hanke’s discretionary trading. Consequently, FINRA found that Hanke’s conduct was violative of FINRA Rule 2010 and National Association of Securities Dealers (NASD) Rule 2510(b).
The AWC additionally stated that from February of 2015 to May of 2015, seven order tickets for the customer’s account had been marked by Mr. Hanke as unsolicited even though those orders had actually been solicited. FINRA found that Hanke’s conduct caused inaccuracies to be present within Ameriprise Financial Services records and books. FINRA concluded that Hanke’s conduct in that regard was violative of FINRA Rule 2010 and 4511(a).
This is not the first time that Mr. Hanke has been subject of a FINRA disciplinary action for engaging in misconduct while registered with Ameriprise Financial Services. Specifically, he was fined $2,500.00 and suspended from associating with any FINRA member in any capacity based upon consenting to findings that he guaranteed a customer against incurring losses on investments; conduct violative of NASD Rules 2110 and 2330(e). FINRA’s disciplinary action against Hanke also served as the basis of Hanke’s securities registration being revoked by the Illinois Secretary of State. Order No. 1100002 (Mar. 15, 2011).
FINRA Public Disclosure confirms that Hanke has been referenced in four customer initiated investment related disputes pertaining to allegations of his misconduct while associated with Ameriprise Financial Services. Specifically, a customer was awarded $25,000.00 in damages according to an investment related arbitration claim that pertained to Hanke’s misconduct, where Hanke was found liable for effecting unauthorized transactions in the customer’s account and failing to abide by the customer’s instructions concerning the liquidation of investments. FINRA Arbitration No. 09-04808 (May 4, 2010).
On October 16, 2013, a customer filed an investment related written complaint involving Hanke’s conduct in which the customer sought $23,724.00 in damages supported by accusations that Hanke made unsuitable investment recommendations to the customer concerning contributions to an individual retirement account. On February 18, 2016, a customer filed an investment related written complaint concerning Hanke’s activities where the customer requested $57,564.39 in damages founded on allegations of unauthorized purchases of securities in the customer’s account in May of 2015, and churning of the customer’s investment account.
Moreover, a customer initiated investment related arbitration claim involving Hanke’s conduct was settled for $15,000.00 in damages based upon accusations that Hanke made mutual fund and real estate investment trust recommendations that were not suitable for the customer. FINRA Arbitration No. 16-01419 (Aug. 16, 2017).
Hanke’s registration with Ameriprise Financial Services, Inc. was terminated on September 8, 2015.
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