The Financial Industry Regulatory Authority has suspended a registered representative with LPL Financial and fined him $7,500 for unauthorized trading in the account of a deceased client.
According to FINRA’s order, Ronald Gene Chronister’s brokerage customer passed away on Jan. 8, 2021, after being hospitalized for several weeks.
On Jan. 15, 2021, unaware of the client’s death, Chronister made a trade in the customer’s account to fund an upcoming required minimum distribution. Later that day, Chronister learned of the customer’s death, the order states.
However, on Feb. 19, 2021, Chronister “falsely stated in an email to LPL that he had spoken with the customer in early January 2021 about the trade.”
