Gleason’s career spanned several decades, commencing in 1985 when he first registered with FINRA. However, recent disclosures by former employers have brought his practices under scrutiny by FINRA. According to his FINRA Brokercheck report, his association with Cantella & Co., Inc., ended with him being “discharged” due to “Concerns regarding the origin of notations added to firm-requested Active Account and Concentration client letters.”

The AWC focused on Gleason’s actions between July 2020 and June 2021, during which he allegedly breached the Best Interest Obligation under Rule 15l-1(a)(1) of the Securities Exchange Act. This rule mandates that brokers prioritize clients’ interests over their own when recommending investments. According to the AWC: “Gleason recommended to a retail customer (Customer A) a series of transactions that were excessive in light of the customer’s investment profile. In so doing, Gleason placed his interests ahead of the interests of the customer.” The AWC further stated that this pattern of behavior resulted in significant costs for Customer A, including substantial commissions despite modest account balances.

The AWC sanctioned Mr. Gleason with a three month suspension of his license and a $5,000.00 fine.

Greco & Greco has extensive experience representing customers in churning claims against their financial advisors and firms. Churning occurs when the advisor engages in excessive trading for the purpose of generating commissions or fees, without regard for the suitability of the trading for the customer. If you believe you may have been the victim of churning, please contact Scott Greco for a free securities fraud attorney consultation about your case.

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.