Archives for Joseph Butler FINRA complaint

Maryland Broker Joseph Butler Barred by FINRA and Ordered to Pay Restitution

According to FINRA’s Disciplinary and Other FINRA Actions publication, Joseph Ronald Butler (CRD #2447535) of Brandywine, Maryland was barred from association with any FINRA member in any capacity and ordered to pay $170,408.18, plus interest, in restitution to his former customer. The SEC affirmed the findings and sanctions following appeal of the Order imposed by FINRA. FINRA alleged that Butler converted an elderly customer’s funds and named himself the beneficiary of her annuity by submitting a falsified beneficiary change request form falsely representing that he was her son.

FINRA further stated that Butler took advantage of his elderly customer, who was suffering from declining mental health and who relied on him to help manage her finances. FINRA alleged that Butler, aware of her diminished capacity, withdrew funds from the customer’s bank account by writing and cashing checks payable to himself and to “cash”, made wire transfers from the customer’s account to his own, and used the customer’s accounts to pay his personal tax liabilities. FINRA further alleged that Butler also took the customer to his attorney, where she ultimately executed papers naming Butler her personal representative and the primary beneficiary under her will, and giving him power of attorney. (FINRA Case #201203 2950101).

As a result of the foregoing Joseph Butler was barred from association with any FINRA member in any capacity and ordered to pay $170,408.18, plus interest, in restitution to his former customer.

According to FINRA’s Broker Check, Joseph Butler was registered with the securities industry for nineteen (19) years, and was registered with the following firm(s):

Innovation Partners LLC
CRD# 146344
Charlotte, NC
10/2012 – 10/2015

Woodbury Financial Services, Inc.
CRD# 421
Clinton, MD
06/1997 – 08/2012

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Categories: Broker Investigations.