FINRA’s Department of Enforcement initiated an investigation into Moffitt’s alleged misconduct. Specifically, FINRA attempted to investigate whether Moffitt converted approximately $370,000 from an elderly customer’s account. Under federal securities laws and FINRA rules, it is illegal to convert money from a customer’s account.
In connection with this investigation, FINRA sent Moffitt a request to appear and provide testimony at FINRA’s offices on July 29, 2015. According to FINRA, Moffitt acknowledged receipt of FINRA’s Rule 8210 request; yet, he failed to cooperate with FINRA’s investigation.
Based upon the foregoing alleged misconduct, FINRA asserted Moffitt violated FINRA Rules 2010 and 8210. Specifically, FINRA Rule 8210 authorizes FINRA, in the course of its investigations, to require persons associated with a FINRA member to “provide information orally, in writing, or electronically . . . with respect to any matter involved in the investigation...” Here, Moffitt failed to provide testimony in response to FINRA’s request, thereby violating FINRA Rule 8210.
Lufrano Law, LLC is a national securities litigation firm and has experience representing investors who have investment disputes with brokers and broker-dealers. If you suffered investment damages with Moffitt while Cambridge Research employed him as a general securities representative, you may be able to recover your losses through FINRA arbitration. Our firm only receives a fee if you recover money. Please contact one of our attorneys at (800) 627-2179 to schedule a free consultation.