FINRA Arbitration Attorney, Russell L. Forkey, Esq.

February, 2011:

Couch Financial Services, Inc. (CRD #130559, Dallas, Texas) submitted a Letter of Acceptance, Waiver and Consent in which the firm was censured and fined $10,000. Without admitting or denying the findings, the firm consented to the described sanctions and to the entry of findings that it failed to comply with the requirements of SEC Rule 15c3-1 in that it used the mails or other means or instrumentalities of interstate commerce to effect transactions in securities, while failing to maintain its minimum required net capital requirement. The findings stated that the deficiency resulted from the firm’s failure to classify certain withdrawals as temporary loans and to treat salaries paid to employees as expenses; as a result, the firm failed to prepare an accurate net capital computation.  (FINRA Case #2008012728201).