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FINRA Bars Former E-Trade Broker for Refusal to Cooperate in Investigation

Posted on May 2nd, 2024 at 10:33 AM
FINRA Bars Former E-Trade Broker for Refusal to Cooperate in Investigation

From the desk of Jim Eccleston at Eccleston Law

Matthew J. Chimento, a former broker at E-Trade Securities in Alpharetta, Georgia, has been barred by FINRA for failing to provide information and documents related to allegations of unauthorized fund transfers from a client's account.

According to AdvisorHub, Chimento voluntarily resigned from the firm in November 2023 while under investigation for the alleged transfers. The termination notice filed by Morgan Stanley, which acquired E-Trade Securities in 2020, prompted FINRA's investigation.

Refusal to cooperate with FINRA's requests for information violates its rules, resulting in an automatic industry bar. Chimento accepted the bar without admitting or denying the allegations.

 

Eccleston Law LLC represents investors and financial advisors nationwide in securities, employment, transition, regulatory, and disciplinary matters.

Tags: eccleston, eccleston law, finra

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