FINRA Bars Inte Securities Stockbroker In Theft Investigation
Preston Kaishen Tsao of New York New York a stockbroker formerly registered with Inte Securities LLC has been barred from associating with any Financial Industry Regulatory Authority (FINRA) member in any capacity supported by findings that Tsao failed to cooperate with a FINRA investigation into allegations of him engaging in unauthorized transactions which included taking possession of customer funds. Letter of Acceptance Waiver and Consent No. 2018057865701 (Oct. 18, 2019).
According to the AWC, Tsao became the subject of a FINRA investigation in March of 2018 in regard to whether Tsao committed violations of FINRA rules or industry standards based upon his activities involving customers of Inte Securities LLC. The investigation subsequently focused on accusations set forth by Inte Securities LLC when it terminated Tsao’s securities registration. Specifically, Inte Securities LLC alleged in a Form U5 on May 21, 2019 that Tsao procured funds from a customer of the firm when those funds were supposed to be provided to the firm instead.
Tsao was contacted by FINRA in August 7, 2019 in which he was asked to provide information and documentation to the regulator as part of the investigation into his activities. FINRA received a phone call from Tsao which conveyed that he understood the nature of FINRA’s request but that he would not cooperate with it at any point. FINRA determined that Tsao’s conduct was violative of FINRA Rules 2010 and 8210.
Tsao’s employment with Inte Securities has been terminated as of May 10, 2019.