Securities Arbitration Lawyer Blog
On August 12, 2020, Morgan Stanley and FINRA entered into a Letter of Acceptance, Waiver, and Consent (“AWC”) over allegations that it failed to reasonably supervise its former broker Kevin Gunnip. As part of the AWC, Morgan Stanley agreed to pay a $175,000 fine and was censured by FINRA. It also agreed to pay eight clients $774,574 in restitution. Two other customers have already settled separately with Morgan Stanley.
The Morgan Stanley AWC allegations involve Kevin Gunnip’s and its own conduct between 2012 and 2017:
- Gunnip recommended short-term trades in ten customer accounts;