Lee Nordstrom Barred After Allegedly Failing to Cooperate with FINRA Investigation
Lee Nordstrom (CRD #: 2248261), a broker formerly registered with LPL Financial, has been barred by FINRA, according to his BrokerCheck record, accessed on February 4, 2022.
This bar stems from allegations that he refused to provide documents and information requested by FINRA in connection with its investigation into whether he engaged in potential unsuitable and excessive trading in several customer accounts.
By refusing to produce the documents and information requested pursuant to FINRA Rule 8210, Lee Nordstrom violated FINRA Rules 8210 and 2010.
FINRA Rule 8210 requires that registered brokers supply FINRA staff with all information and documents requested in the course of an investigation. A violation of FINRA Rule 8210 is also a violation of FINRA Rule 2010, which requires member firms and their associated persons to “observe high standards of commercial honor and just and equitable principles of trade.”
As part of the terms of the AWC, Lee Nordstrom consented to a bar from associating with any FINRA member in all capacities.
You can read a copy of the Acceptance, Waiver, and Consent agreement here.
Executing Unauthorized Trades Allegations
On August 11, 2020, Lee Nordstrom was the subject of a FINRA investigation into whether he executed unauthorized trades in an IRA Account. According to the allegations, the trades were placed four days after the owner was deceased; the findings further state the account’s beneficiary—a surviving spouse—did not authorize the trades.
Unauthorized trading occurs when a broker executes securities transactions without authorization from their client. Unless an account has been approved for discretionary trading, a broker must always have authorization from an investor before executing any trades. A broker must always have the customer’s written permission before exercising discretion. This is in accordance with FINRA Rule 3260(b).
A broker executing unauthorized trades in a customer’s account also violates FINRA Rule 2010, which requires associated persons to observe high standards of commercial honor and just and equitable principles of trade.
Employment Termination Details
On April 27, 2020, Vorpahl Wing Securities Group fired Lee Nordstrom after he allegedly failed to adhere to the firm’s suitability policy with respect to quantitative suitability.
Lee Nordstrom has passed the following exams:
- Series 65 – Uniform Investment Adviser Law Examination
- Series 63 – Uniform Securities Agent State Law Examination
- SIE – Securities Industry Essentials Examination
- Series 7 – General Securities Representative Examination
He has also worked with the following firms:
- Partners Investment Network (CRD#: 22423)
- Prudential Securities Incorporated (CRD#: 7471)
- Painewebber Incorporated (CRD#: 8174)
- Dean Witter Reynolds (CRD#: 7556)
Kurta Law Can Help
If you have concerns about your investments after working with Lee Nordstrom, don’t hesitate to contact us today at 877-600-0098 or firstname.lastname@example.org for a free consultation.
For nearly 20 years, Kurta Law has advocated for investors to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm and exclusively represents investors against brokers and brokerage firms on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf.