NOTE: Stipulations of Fact and Consent to Penalty (SFC); Offers of Settlement (OS); and Letters of Acceptance Waiver, and Consent (AWC) are entered into by Respondents without admitting or denying the allegations, but consent is given to the described sanctions & to the entry of findings. Additionally, for AWCs, if FINRA has reason to believe a violation has occurred and the member or associated person does not dispute the violation, FINRA may prepare and request that the member or associated person execute a letter accepting a finding of violation, consenting to the imposition of sanctions, and agreeing to waive such member's or associated person's right to a hearing before a hearing panel, and any right of appeal to the National Adjudicatory Council, the SEC, and the courts, or to otherwise challenge the validity of the letter, if the letter is accepted. The letter shall describe the act or practice engaged in or omitted, the rule, regulation, or statutory provision violated, and the sanction or sanctions to be imposed.
Gary Harrison Lane AWC/2011027048601
Lane converted to his personal use a
total of $4.93 million in checks from customers who Lane misled into believing
they were investing in U.S. Treasury bonds and/or corporate bonds.
Instead of investing the customersí money, Lane deposited checks drawn
on the customersí accounts into his relativeís account to effectuate the
conversion of the customersí funds without their authorization. In furtherance of his scheme and in an effort to
disguise his conversion, Lane made a total of more than $736,000 in payments to some
of the affected customers by cash payments or by transferring funds from his
relativeís account to a bank account bearing the name of the United States from
which cashierís checks were issued to the customers. Lane created and provided his customers with fictitious receipts and typed
certifications purporting to confirm his customersí non-existent investments in
U.S. Treasury bonds and/or corporate bonds.
It is said that the only certainties in life are death and taxes. In today's featured FINRA expungement arbitration, we get to deal with both of life's certainties. We have a deceased customer. We have a dispute over taxes. All of which makes for less-than cheerful reading in these times of plague.Case in PointIn a FINRA Arbitration Statement of Claim f... Read On