Financial Industry Regulatory Authority (FINRA) findings have been entered against Amy Louise Siesennop, a broker with Brookfield, Wisconsin based Freedom Investors Corp., for improperly guaranteeing a customer against loss and drafting a settlement agreement with the customer that contained a condition that the customer agree not to complain to FINRA if her firm made his account whole. FINRA's findings stated that Ms. Siesennop timely filed a disclosure of events and complaint form to report the complaint but incorrectly checked the box indicating that the complaint was against the firm and not an individual representative. Ms. Siesennop, of Oconomowac, Wisconsin, was fined $11,000, suspended from association with any FINRA member in any principal capacity for 16 months, and ordered to re-qualify as a principal before acting again in that capacity. The fines are due upon Ms. Siesennop's return to the securities industry, and the suspension is in effect from December 17, 2012 through April 16, 2014.
FINRA's findings also stated that Ms. Siesennop post-dated her signature on a compliance review form and admitted that she did not disclose to the FINRA auditors that she had made additions to the form when she readied it for their review, thereby providing a false and misleading document to FINRA auditors. The findings further included that Ms. Siesennop maintained the inaccurate form in her firm's records, which caused inaccuracies in the firm's records. FINRA found that Ms. Siesennop produced the inaccurate and misleading form in response to a post-complaint Rule 8210 request for information and documents without explaining how and why she had previously altered the form.
Broker-dealers must establish and implement a reasonable supervisory system to protect customers from broker misconduct. If broker-dealers do not establish and implement a reasonable supervisory system, they may be liable to investors for damages flowing from the misconduct. Therefore, investors who have suffered damages due to Ms. Siesennop's misrepresentations and unlawful acts can bring forth claims to recover losses against Freedom Investors Corp., which should have prevented Ms. Siesennop from committing the described illegal activity.
The most important of investors' rights is the right to be informed! This Investors' Rights blog post is by the Law Offices of Robert Wayne Pearce, P.A., located in Boca Raton, Florida. Please see our Instablog profile (left column) for ways to contact us and get answers to any of your questions about this blog post and/or any related matter.