FINRA Bars Morgan Stanley Broker In Investigation
Daniel Todd Levine of Greenwood Village Colorado a stockbroker formerly employed by Morgan Stanley has been barred from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity based upon consenting to findings that Levine failed to cooperate with FINRA’s investigation into accusations that (1) Levine engaged in unauthorized trading of customer accounts (2) Levine participated in outside business activities and (3) Levine steered a customer towards borrowing funds. Letter of Acceptance Waiver and Consent No. 2018059393201 (Jan. 8, 2019).
According to the AWC, Morgan Stanley notified FINRA on August 2, 2018 that it terminated Levine during a period that the firm was examining Levine’s activities for misconduct. Following up in this respect, on August 13, 2018, FINRA requested under Rule 8210 that Levine provide information and documentation to the regulator so that it could assess the allegations of Levine’s unauthorized trading.
The AWC stated that Levine was provided an extension of time to cooperate with FINRA’s request, and his information and documentation was due by September 10, 2018. Evidently, FINRA submitted a second request for Levine’s documentation after having failed to receive a response from Levine. Apparently, Levine eventually responded to FINRA’s request; however, Levine failed to provide key information to the regulator regarding his activities.
The AWC stated that counsel for Levine had been contacted by FINRA to address Levine’s incomplete responses. Evidently, counsel for Levine informed FINRA that Levine would not be responding any further to the regulator’s requests. FINRA was then presented with a December 3, 2018 e-mail confirming that Levine understood the nature of FINRA’s requests but chose not to cooperate in the investigation. FINRA found Levine’s conduct violative of FINRA Rules 2010 and 8210.
FINRA Public Disclosure confirms that Levine was twice terminated from a brokerage firm founded on accusations of his conduct. First, Levine was terminated by Morgan Stanley on July 3, 2018, and then discharged by brokerage firm First Financial Equity Corporation based upon Levine’s failure to apprise First Financial Equity Corporation about him being subject of a FINRA investigation.
Moreover, Levine is referenced in a customer initiated investment related written complaint on July 9, 2018 where the customer requested unspecified damages based upon allegations that Levine forged the customer’s signature on variable annuity account documentation.