Matthew Clary Smith, of Spartanburg, South Carolina, a stockbroker formerly registered with ProEquities, Inc., 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 utilized customer account documentation in an unauthorized manner to effect investment transactions. Letter of Acceptance, Waiver and Consent, No. 2016050244601 (June 20, 2017).
According to the AWC, between January of 2013 and May of 2016, during which point Smith was associated with ProEquities, he procured one-hundred and twenty-two forms from customers that were signed by them – but incomplete or blank. Apparently, the forms were comprised of investor acknowledgments and switch forms involving forty-seven of the firm’s customers, wherein Smith’s furnishing of the forms to ProEquties after his completion enabled mutual fund transactions to be effected in their investment accounts. Apparently, Smith’s conduct of procuring forms in this manner was inconsistent with the firm’s policies. Consequently, FINRA found that Smith’s conduct was violative of FINRA Rule 2010.
FINRA Pubic Disclosure reveals that on May 25, 2016, Smith was fired from ProEquities Inc. based upon allegations that he caused undated or blank switch forms to be signed by customers before completion, and altered customers’ existing documentation to effect multiple securities transactions. The firm alleged that Smith admitted to committing the sales practice violations after having lied to his firm during its investigation into his misconduct.
Since May 26, 2016, Smith has been registered with First Heartland Capital, Inc.
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
