Broker plows through FINRA guardrail

Former stockbroker Patrick Alan Deramus was charged with a DUI, but took eight months to report the felony to his now former employer, FSC Securities Corporation.

Read: Professionals failing to report fraud

On March 12, 2010, FSC filed an amended Form U4 reporting Deramus’s felony charge and conviction. Immediately after, Deramus was subject to statutory disqualification based on the felony conviction and was permitted to resign.

Read: Investors wary of scandal

He broke four different rules by not reporting his crime, and FINRA alleges he wilfully failed to disclose the felony charge.

Read: Key to Wall Street success? Bad ethics.

Following Deramus’ AWC letter, FINRA imposed a $5,000 fine upon him and a 6-month suspension in all capacities with any FINRA regulated firm.

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.