FINRA’s Department of Enforcement investigated Deeley and found between June 2014 and November 2014, he converted approximately $24,000 from one of his customer’s brokerage accounts. In order to perpetrate this scheme, FINRA alleges Deeley submitted completed withdrawal slips with instructions to allocate a portion of the withdrawal amount in cash to Deeley. According to FINRA, Deeley then used the converted funds for his personal use and benefit. Of course, the customer neither authorized nor was aware Deeley syphoned funds from the client’s account to pay for his own personal expenses.
FINRA alleged Deeley’s misconduct violated several financial industry rules and regulations including FINRA Rule 2010 and 2150(a). FINRA Rule 2010 requires its members to exhibit “high standards of commercial honor and just and equitable principles of trade.” Here, Deeley improperly used his customer’s funds by converting the funds for his own personal benefit, and therefore, did not exhibit high standards of commercial honor and just and equitable principles of trade
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 lost money investing with Deeley while JP Morgan 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.