South Florida Arbitration & Litigation Lawyer Blog
FINRA Negligent Supervision and Selling Away Arbitration Attorney, Russell L. Forkey, Esq.
August, 2011:
David Lee Cheviron (CRD #4031542, Registered Principal, Massillon, Ohio) submitted a Letter of Acceptance, Waiver and Consent in which he was barred from association with any FINRA member in any capacity. Without admitting or denying the findings, Cheviron consented to the described sanction and to the entry of findings that without permission or authority, he wrongfully converted a total of $75,331.08 from customers. The findings stated that Cheviron did so by withdrawing funds from a customer’s bank account and then took the funds to another branch of the bank, where he deposited the funds into his own personal account; he ultimately used the customer’s funds to make home improvements to his personal residence. The findings also stated that Cheviron’s member firm compensated the customer for the funds wrongfully taken from her account; Cheviron has not reimbursed his firm. The findings also included that Cheviron caused other customers to sign distribution requests to an insurance company with instructions to mail checks to Cheviron’s attention at several banks and his personal residence. FINRA found that upon receipt, Cheviron deposited these funds into his personal bank accounts and used the funds for his personal benefit. FINRA also found that in an effort to conceal that he was the beneficiary of the customers’ funds, Cheviron created false account statements, which he provided to one of the customers. (FINRA Case #2010022831701).