Why a broker’s expungement drew the ire of Alabama regulators

Investor Kenneth Lehmann received a settlement of $125,000 in 2012 based on allegations that his broker made unsuitable recommendations of collateralized debt obligations. It was a mark on broker Kent Kirby’s record that stemmed from  five total client complaints.

Now, a decade later, Kirby wanted the blot expunged, and he got his wish through FINRA arbitration. It happens all the time.

But this time, the Alabama Securities Commission is taking the rare step of intervening and asking a court to nullify the arbitrator’s decision, citing egregious mistakes. It’s certainly a fight to watch, as it will have implications for expungements nationwide. 

Tobias Salinger has more: In potential landmark, state regulator intervenes in expungement case

In other news:

Morgan Stanley and UBS fined over firms’ expanding reporting errors

The wirehouses respectively ran afoul of requirements related to two industry recordkeeping systems over roughly three years, according to FINRA.

Battered stocks fuel 'GRAT lifestyle' tax perks for rich investors with trusts

Grantor-retained annuity trusts thrive in a volatile stock market. Here are the lucrative tax reasons.

How advisors can help clients get early retirement account distributions – without paying a penalty

The Internal Revenue Code encourages individuals to save for retirement by offering taxpayers the ability to invest for their ‘golden years’ through a variety of tax-favored retirement accounts such as IRAs, Roth IRAs and 401(k) plans.

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