FINRA Suspends Broker for Using Unauthorized Text Messages

According to the AWC, the broker exchanged business-related communications with another associated person at the firm through unauthorized text messages on his personal phone. FINRA found that the messages contained customer information, annuity values, and requests to transfer funds from customer accounts. FINRA stated that the firm prohibited the use of text messaging for business communications, and that the broker’s failure to disclose or provide copies of the messages caused the firm to violate its recordkeeping requirements.

FINRA also found that the firm initiated an internal investigation into the broker’s use of personal text messages for business-related communications. FINRA determined that during the investigation, the broker falsely claimed that he had not exchanged business-related messages with another associated person. FINRA stated that the broker had deleted the messages from his phone and asked the other individual to do the same in order to impede the firm’s investigation.