The Financial Industry Regulatory Authority barred an ex-Kestra Investment Services representative from association with any FINRA member in any capacity after he refused to provide testimony as part of the regulator’s investigation into “potentially fraudulent and unauthorized transactions in several” of his customers’ accounts, according to FINRA.
Without admitting or denying the findings, James Blake Daughtry signed a letter of acceptance, waiver and consent March 5 in which he agreed to FINRA’s sanction. FINRA accepted the letter Wednesday.
It was not immediately clear if Daughtry was still working for Kestra in some capacity. However, he is not currently registered as a broker, according to his profile on FINRA’s BrokerCheck website. He is listed as both a previously registered broker and previously registered investment advisor.
There were no disclosures related to his alleged fraud and FINRA dispute on his Broker Registration History at the BrokerCheck website as of Thursday afternoon. In fact, there were no disclosures cited for his 20-plus years as a FINRA-registered rep.
Kestra Investment Services parent Kestra Financial and Chris Lazarini, an attorney at the Memphis, Tennessee office of law firm Bass, Berry & Sims who represented Daughtry in the dispute, did not immediately respond to requests for comment Thursday.