A former financial advisor for J.P. Morgan Chase has been fined and suspended for violating the Financial Industry Regulatory Authority’s ethical standards in his work with an elderly client, according to AdvisorHub.
FINRA took the enforcement action against Dinu M. Tise, who was discharged by J.P. Morgan in 2019. He was accused of acting unethically and not complying with company policies when he sought to have the client name him as the primary beneficiary of her estate.
In a letter of acceptance, waiver and consent, Tise did not admit or deny FINRA’s findings but did accept them along with the imposition of a $7,500 fine and a six-month suspension.
According to FINRA, Tise was hired by the client following the death of her husband in 2009. Four years later, the authority said Tise referred the woman to an attorney who drafted a will removing her family members as beneficiaries to her estate and leaving her assets to a charitable trust.
In March 2019, the attorney drafted another will in which Tise was designated to receive a six-figure amount, but it was never signed. Then in June of that year, Tise allegedly typed a will intended for the 89-year-old client to use as a guide for a handwritten will, in which Tise would have been named the primary beneficiary and received over $5 million.
But after signing the will and having it validated, the client complained about the situation to J.P. Morgan in October 2019. Her account was assigned to a different advisor and she “signed a will that did not name Tise as her beneficiary.”
Tise was found to be in violation of FINRA Rule 2010, establishing “a broad ethical mandate for persons engaged in the securities industry.” According to FINRA, Tise violated J.P. Morgan policies by not telling the firm that the client had named him as a beneficiary. He also was found to have made a false compliance statement that he had reported any violations to the firm.
Tise and a spokesperson for J.P. Morgan did not comment on the case.
The attorneys at Lewitas Hyman are uniquely qualified to represent individual investors in investment-related claims against financial professionals and their firms. We have experience dealing with a broad range of claims that rise to the level of financial advisor misconduct. If you have suffered investment losses as a result of misconduct by your financial professional or their firms, contact us at (312) 291-4600 or through our online contact form.