Securities Fraud Blog
The Financial Industry Regulatory Authority (FINRA) recently issued a disciplinary order against Christopher Booth Kennedy, a former registered representative with Western International Securities, for a series of egregious violations. The order which can be found here, stemming from a complaint filed by FINRA’s Department of Enforcement, outlines Kennedy’s misconduct between July 2020 and July 2021. During this period, Kennedy engaged in churning and excessive trading in the accounts of six customers, resulting in significant financial losses. The Order bars Kennedy from associating with a FINRA firm.
Kennedy’s actions, as detailed in the findings and conclusions of the order, paint a troubling picture of misconduct and deceit. He directed over 5,300 trades totaling more than $350 million in the accounts of six customers, with an average of 102 trades per account each month. These excessive transactions generated substantial commissions for Kennedy while causing substantial losses for his clients. Moreover, Kennedy went to lengths to conceal the true extent of these losses by fabricating account statements and providing false information to his clients.
The disciplinary order found Kennedy in violation of several securities regulations, including Section 10(b) of the Securities Exchange Act of 1934, Regulation Best Interest, and various FINRA rules.
Mr. Kennedy’s FINRA Brokercheck Report reports ten customer complaints in the past several years, most of which have been settled, many for multiple millions of dollars.
If you believe you may be the victim of a financial advisor who has churned your accounts, please contact Investment Fraud attorney Scott Greco for a free attorney consultation about your potential claim.