Jeffrey David Snyder, a Stockbroker with Network 1 Financial Securities, was permanently barred from association with any Financial Industry Regulatory Authority (FINRA) member firm in any and all capacities after consenting to findings that he failed to fully cooperate with a FINRA investigation into allegations of Snyder’s covering of a customer’s losses. Letter of Acceptance, Waiver, and Consent, No. 2015045289901 (Oct. 13, 2015).
According to the AWC, FINRA had sent Snyder a letter, pursuant to Rule 8210, requesting that he provide on-the-record testimony in connection with an examination into allegations that Snyder had paid a customer compensation for investment losses without his firm’s knowledge or authorization. The AWC stated that Snyder did attend for testimony, yet repeatedly refused to respond to questions concerning the allegations. Consequently, FINRA found his conduct violative of Rules 8210 and 2010.
FINRA Stockbrokers like Snyder who do not cooperate with FINRA’s investigations often face a permanent bar from practicing in the securities industry as such lack of cooperation violates FINRA’s 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. FINRA typically accompanies a Rule 8210 violation with a Rule 2010 violation when individuals, according to FINRA, do not appear to observe high standards for commercial honor and just and equitable principles of trade.
Firms and individuals, not surprisingly, are prohibited from unauthorized use of customer funds, borrowing of a customer’s securities or funds, forgery, non-disclosures or misstatements of material facts, and various deceptions and manipulations. Such conduct can also be found to violate criminal and other civil laws, and be subject to sanction from the federal and state government bodies.
Public disclosure records reveal that Snyder has been subject to seven disclosure incidents. On December 1, 2007, Snyder settled a customer dispute for $100,000.00 after allegations of poor performance. On June 17, 2009, Snyder settled a customer dispute for $175,000.00 after a customer alleged churning, unsuitability, lack of diversity, misrepresentations and omissions, and failure to follow instructions in two accounts. On August 22, 2013, Snyder settled a customer dispute for $79,000.00 after a customer alleged breach of fiduciary duty, negligence, fraud, and churning.
Snyder is also subject to a pending customer dispute from February 20, 2014, where a customer is requesting $339,993.92 after alleging inappropriate actions by trading aggressively and in unsuitable manner. On October 19, 2014, Snyder became subject to a pending customer dispute where a customer is requesting $250,000.00 after alleging suitability and guaranteeing against losses.
Guiliano Law Group
If you have been the victim of securities fraud and you have a complaint, you should consult with an attorney. The practice of Nicholas J. Guiliano, Esquire, and The Guiliano Law Group, P.C., is limited to the representation of investors in claims for fraud in connection with the sale of securities, the sale or recommendation of excessively risky or unsuitable securities, breach of fiduciary duty, and the failure to supervise. We accept representation on a contingent fee basis, meaning there is no cost unless we make a recovery for you, and there is never any charge for a consultation or an evaluation of your claim. For more information contact us at (877) SEC-ATTY.
