A former broker for Wells Fargo Advisors has been barred from the industry in a case involving money he was paid in error, according to AdvisorHub.
The Financial Industry Regulatory Authority took the action against Bruce L. Davis of Sacramento, California. He was fired by Wells Fargo in February 2021 after it was determined that he had not returned $206,000 that the firm paid him by mistake and did not respond to Wells Fargo’s requests to return the funds. No details were provided on what led to the mistaken payment.
According to FINRA’s letter of settlement, Davis did not participate in its investigation of the matter. This was a violation of Rule 8210, which allows FINRA to request documents, information, and testimony from member firms and their associated persons in connection with an examination or investigation.
Davis was also found to be in violation of FINRA Rule 2010, requiring members to observe high standards of commercial honor and just and equitable principles of trade. Davis did not admit or deny the allegations that were detailed by FINRA but signed the settlement letter accepting the bar.
Wells Fargo has gone to court in an effort to recover the funds erroneously paid to Davis. There was no word on whether he was still in possession of the money. Davis was with Wells Fargo from 2014 until he was terminated.
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