Podcast Center
Video Center
Webcasts
Resource Center
Events
By 
October 03, 2023 at 02:39 PM
The Financial Industry Regulatory Authority fined a former LPL Financial broker $5,000 and suspended him for four months from associating with any FINRA member in any capacity after he “forged or falsified the electronic signatures” of 30 clients on 53 account documents, according to the regulator.
Without admitting or denying the regulator’s findings, Cody Robert Roos signed a FINRA letter of acceptance, waiver and consent on Sept. 20 in which he consented to the sanctions.
Andrew Friedman, principal counsel for the FINRA Department of Enforcement, signed the letter on Thursday, bringing the disciplinary action to a close.
LPL did not immediately respond to a request for comment on Tuesday.
Why it matters: A large number of brokers have received the same or similar sanctions from FINRA for the same or similar violations.
Signing forms on behalf of clients often saves time for the broker and the client.
But FINRA explains: “Falsifying documents occurs when a person creates a document or entry in a firm’s system that creates a false appearance by including altered or untrue information. Signing or affixing another person’s name to a document with the other person’s prior permission but without indicating that it is being done on someone else’s behalf is falsification.”
Falsification is a violation of FINRA Rule 2010. Additionally, a general registered representative who “falsifies firm records causes the firm to maintain inaccurate records and, thereby, violates FINRA Rule 4511,” the regulator points out.
