FINRA’s Department of Enforcement initiated an investigation into Payne’s alleged misconduct. FINRA specifically investigated whether Payne recommended unsuitable investment recommendations. FINRA’s investigation was likely sparked by a customer complaint and employment termination. In connection with this investigation, FINRA sent Payne a request to provide on the record testimony pursuant to FINRA Rule 8210. According to FINRA, Payne failed to cooperate with the investigation.
Based upon the foregoing alleged misconduct, FINRA asserted Payne 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, Payne failed to provide information 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 Payne while employed by Wilbanks, 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 or complete our free case evaluator.