Publicly available records provided by the Financial Industry Regulatory Authority (FINRA) indicate that general securities representative Eugene James Long (CRD # 2386267) was recently suspended from the securities industry by FINRA’s Department of Enforcement. The sanction occurred as a result of an investigation into his use of unauthorized discretion. The Law Office of Kevin J. Deloatch, Esq. is interested in speaking to investors who have complaints regarding Mr. Long
Registration Background for Eugene James Long
Mr. Long first became registered in the securities industry in 1993 and is currently registered with Blue Bell, PA based Cadaret, Grant & Co., Inc. (CRD # 10641). His prior registrations include Liberty Securities Corporation (CR # 14416) from July 1996 to January 1998, Independent Financial Securities, Inc. (CRD # 19924) from August 1995 to July 1996 and Putnam Mutual Funds Corp. (CRD # 7325) from February 1995 to August 1995.
FINRA’s Allegations against Eugene James Long
FINRA’s investigation led to Mr. Long entering into a Letter of Acceptance, Waiver and Consent (AWC) with FINRA on July 2, 2020. According to the AWC, Mr. Long consented to, without either admitting to or denying, the following findings by FINRA’s Department of Enforcement:
- “FINRA conducted an examination of Cadaret Grant covering the period between August 2017 and August 2018”;
- “During the period between August 2017 and August 2018, [Mr.] Long exercised discretion without written authorization in 64 customer accounts, in violation of NASD Rule 2510(b) and FINRA Rule 2010”;
- “Although the customers knew that [Mr.] Long was exercising discretion in their accounts, [Mr.] Long did not have prior written authorization to do so from any of the customers”;
- “Additionally, Cadaret Grant had not approved any of the accounts for discretionary trading”; and
- By virtue of the above, Mr. Long violated FINRA Rule 2510(b) and FINRA Rule 2010.
FINRA Sanctions Eugene James Long
As a result of such violations and in addition to the above described findings and conclusions, FINRA’s July 2, 2020 AWC also indicates that Mr. Long consented to the following sanction(s):
- A suspension from association with any FINRA member in any and all capacities for a period of 15 business days; and
- A $5,000.00 fine.
Eugene James Long has a History of Regulatory Actions
In addition to the findings of FINRA’s Department of Enforcement, FINRA BrokerCheck for Mr. Long reveals (pages 15 – 20) he has a history of securities regulators bringing actions against him, including the following:
- On September 11, 2018 the Securities and Exchange Commission (“SEC”) deemed it “appropriate and in the public interest that public administrative and cease-and-desist proceedings be…instituted against…[Mr. Long]” for failing to reasonably supervise Cadaret Grant’s registered representatives with respect to recommendations to buy and hold leveraged and inverse exchange traded funds and exchange traded notes. In addition to the order for the cease and desist censure, Mr. Long was fined $250,000.00.
Eugene James Long has a History of Complaints
Additionally, FINRA BrokerCheck for Mr. Long (pages 21 – 22) reveals he has a history of customer complaint(s) and/or arbitration(s), including but not necessarily limited to the following:
- On April 16, 2009 a customer initiated a written complaint against Mr. Long for acts that allegedly occurred while he was associated with Cadaret, Grant & Co., Inc. The customer complained of the poor performance of her mutual fund. The customer alleged damages in the amount of $20,963.16. On November 13, 2009 the complaint was denied.
If you or someone you know has or had a brokerage account with Mr. Eugene James Long and have concerns regarding losses in your investments or possible sales practice violations including fraud, you may be entitled to recover lost funds. The Law Office of Kevin J. Deloatch, Esq. has an extensive securities law practice and over 30 years of experience on Wall Street. Call today at (646) 792-2156 for a free consultation. The time to file your claim may be limited so you should call today to avoid delay.