Finra bars ex-Wells Fargo Advisors rep who did not cooperate with investigation

Finra bars ex-Wells Fargo Advisors rep who did not cooperate with investigation
The broker, Stephen Klinger, had been fired earlier this year by Wells Fargo.
OCT 14, 2019
The Financial Industry Regulatory Authority Inc. on Thursday barred a former Wells Fargo Advisors broker who did not cooperate with a Finra investigation. Earlier this year, the broker, Stephen Klinger, had been fired by Wells Fargo after it was revealed that he had traded options in his own account for a client and wound up losing the client's money. Finra typically bars brokers and advisers who do not cooperate with its inquiries as they are in violation of industry rules. [Recommended video: What advice industry needs to do as nation's diversity evolves] According to Mr. Klinger's BrokerCheck report, Wells Fargo Advisors fired the rep in February after he deposited a client's funds into his own account to trade options and ended up losing all the client's funds. The client then sued Wells Fargo and Mr. Klinger, but only the rep was notified of the lawsuit, according to BrokerCheck. Based in Asheville, N.C., Mr. Klinger settled the lawsuit without telling Wells Fargo. According to the Finra order, Wells Fargo ultimately made the client whole, but it does not state the amount. Mr. Klinger, who had been registered with Wells Fargo or firms it acquired since 1994, accepted the Finra settlement without admitting to or denying its findings. He could not be reached on Monday to comment. A spokeswoman for Wells Fargo, Shea Leordeanu, did not respond to a request for comment.

Latest News

Integrated Partners, Kestra welcome multigenerational advisor teams
Integrated Partners, Kestra welcome multigenerational advisor teams

Integrated Partners is adding a mother-son tandem to its network in Missouri as Kestra onboards a father-son advisor duo from UBS.

Trump not planning to fire Powell, market tension eases
Trump not planning to fire Powell, market tension eases

Futures indicate stocks will build on Tuesday's rally.

From stocks and economy to their own finances, consumers are getting gloomier
From stocks and economy to their own finances, consumers are getting gloomier

Cost of living still tops concerns about negative impacts on personal finances

Women share investing strengths, asset preferences in new study
Women share investing strengths, asset preferences in new study

Financial advisors remain vital allies even as DIY investing grows

Trump vows to 'be nice' to China, slash tariffs
Trump vows to 'be nice' to China, slash tariffs

A trade deal would mean significant cut in tariffs but 'it wont be zero'.

SPONSORED Compliance in real time: Technology's expanding role in RIA oversight

RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.

SPONSORED Advisory firms confront crossroads amid historic wealth transfer

As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.