Publicly available records provided by the Financial Industry Regulatory Authority (FINRA) indicate that broker/advisor, Jeffrey Russell (CRD # 2516610) was recently suspended from the securities industry by FINRA’s Department of Enforcement after an investigation into unauthorized trades.

The Law Office of Kevin J. Deloatch, Esq. is interested in speaking to investors who have complaints regarding Mr. Russell.

Registration Background for Jeffrey Russell

Mr. Russell first became registered in the securities industry in 1994. He was most recently registered with Newport Beach, CA based Morgan Stanely (CRD # 149777) from May 2010 to June 2021. His prior registrations include Merrill Lynch, Pierce, Fenner & Smith Incorporated. (CRD # 7691) from September 1991 to May 2010.

Jeffrey Russell Suspended from Securities Industry by FINRA for Unauthorized Trades (2)FINRA’s Allegations Against Jeffrey Russell

According to the FINRA Letter of Acceptance, Waiver and Consent (AWC) dated November 16, 2023 (No. 2021071685401), Mr. Russell consented to, without either admitting to or denying, the following findings by FINRA’s Department of Enforcement:

  • In February 2021, while associated with Morgan Stanley, [Mr.] Russell effected 657 unauthorized purchases of a mutual fund in 610 of his customers’ firm brokerage accounts”;
  • Additionally, between December 2020 and March 2021, [Mr.] Russell effected unauthorized purchases of a different mutual fund in six of his customers’ firm brokerage accounts”;
  • During the relevant period, Morgan Stanley’s written supervisory policies prohibited its associated persons from exercising orders without the prior express authorization of the customer”; and
  • By virtue of his actions, Mr. Russell violated FINRA Rule 2010 regarding standards of commercial honor and principles of trade.

FINRA Suspends Jeffrey Russell from Securities Industry

As a result of such violations and in addition to the above-described findings and conclusions, FINRA’s November 16, 2023 AWC also indicates that Mr. Russell consented to the following sanction(s):

  • a six-month suspension from association with any FINRA member in all capacities.
  • a fine in the amount of $5,000.00; and
  • disgorgement of $2,999 plus interest.

Jeffrey Russell Has a History of Securities Industry Customer Complaints

In addition to Mr. Russell being suspended by FINRA from the securities industry regarding unsuitable recommendations, FINRA BrokerCheck for Mr. Russell reveals that he has history of customer complaints and/or customer-initiated arbitrations, including but not necessarily limited to the following:

  • On January 24, 2023, a customer initiated a written complaint against Mr. Russell regarding alleged actions that occurred while he was associated with Morgan Stanley. The customer’s allegation(s) included an unauthorized purchase regarding a mutual fund. The customer did not allege a specific dollar amount regarding damages. On March 22, 2023 the complaint was settled in the amount of $16,000.00.
  • On June 1, 2005, a customer initiated a complaint against Mr. Russell regarding alleged actions that occurred while he was associated with Merrill Lynch, Pierce, Fenner & Smith, Inc. The customer’s allegation(s) included unsuitable investments and failure to disclose fees. The customer alleged damages in the amount of $75,000.00. On July 19, 2005 the complaint was denied.

Have You Lost Money with Jeffrey Russell?

If you or someone you know has or had a brokerage account with Mr. Jeffrey Russell 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.