Merrill Advisor Terminated for Failing to Disclose Outside Business Activity

Posted on July 19th, 2021 at 1:46 PM
Merrill Advisor Terminated for Failing to Disclose Outside Business Activity

From the Desk of Jim Eccleston at Eccleston Law:

Jorge Sonville, a Miami-based Merrill advisor, was terminated for allegedly engaging in an outside business activity (OBA) after 26 years at the firm. According to a Form U-5 (Uniform Termination Notice) filed with regulators, Sonville participated “in a financial arrangement with a client and failed to disclose outside business activity.” Sonville allegedly convinced Eduardo Tarajano to transfer nearly $5 million from his retirement trust to invest in a Key Biscayne liquor store in 2015, which was sold in 2020 for $585,000. 

According to a complaint filed by Tarajano, Sonville or his spouse allegedly possessed an undisclosed interest in the liquor store, which generated around $70,000 of ill-gained profits. Sonville allegedly provided Tarajano’s son with an ownership stake in the store while Sonville’s cousin earned a commission from liquor store sales, according to the complaint. According to Sonville’s BrokerCheck record, the Tarajano suit requests $4 million in damages related to “an unsuitable investment recommendation and engaging in an undisclosed outside business activity from 2015 until 2020.” 

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

Tags: eccleston, eccleston law, merill lynch, advisor terminated

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