FINRA Suspends Richard Brendza
Richard Brendza (CRD #: 1703194), a broker registered with Raymond James & Associates, has been suspended by FINRA, according to his BrokerCheck record, accessed on July 14, 2022. If you want to learn more about Richard Brendza’s conduct as a broker, keep reading.
Suspension by FINRA
On May 3, 2022, Richard Brendza consented to the entry of findings that he caused Morgan Stanley to keep inaccurate records by falsifying the representative code for trades in the firm’s order entry system.
According to a letter of Acceptance, Waiver & Consent (AWC), Richard Brendza entered into an agreement with two other brokers in approximately October 2012. Under this alleged agreement, Richard Brendza would service certain customer accounts (including executing trades) under a joint representative code shared between himself and these two brokers.
Richard Brendza allegedly falsified the representative code for 380 trades from March 2015 through February 2018. He allegedly overwrote the order system’s pre-filled code, which matched the agreement, with a joint representative code he shared with Representative 2. This allegedly resulted in Richard Brendza and Representative 2 receiving higher commissions than they would have received under the amended agreement using the agreed-upon code.
The AWC concludes that, through these alleged actions, Richard Brendza violated FINRA Rules 4511 and 2010.
FINRA Rules 4511 and 2010
FINRA Rule 4511 requires firms to keep accurate and up-to-date books and records.
Violations of FINRA Rule 4511 are also violations of FINRA Rule 2010, which holds brokers to high standards of professional honor and ethical conduct.
Sanctions
Richard Brendza consented to the following sanctions:
- $5,000 fine
- 6-month suspension
His suspension began on June 6, 2022, and will end on December 5, 2022.
You can read the AWC filing here.
Resignation from Morgan Stanley Smith Barney
On April 23, 2018, Richard Brendza resigned from Morgan Stanley following allegations that he and another broker failed to follow the terms of a revenue sharing agreement with a third broker by failing to correctly use a joint production number, resulting in the misallocation of revenue.
Background Information
Richard Brendza has passed the following exams:
- Series 65 – Uniform Investment Adviser Law Examination
- Series 63 – Uniform Securities Agent State Law Examination
- SIE – Securities Industry Essentials Examination
- Series 31 – Futures Managed Funds Examination
- Series 7 – General Securities Representative Examination
He is a registered broker in 24 states and a registered investment adviser in Illinois and Texas.
He has also worked for the following firms:
- Morgan Stanley (CRD#:149777)
- Morgan Stanley & Company (CRD#:8209)
- Morgan Stanley (CRD#:7556)
Kurta Law Can Help
If you worked with Richard Brendza and you have concerns about your investments, please contact us today at 877-600-0098 or info@kurtalawfirm.com for a free consultation.
For over 20 years, Kurta Law has advocated on behalf of investors who want to recover their investment losses from brokers and brokerage firms. Kurta Law is a nationally recognized law firm and exclusively represents investors against brokers and brokerage firms on a contingency basis. This means that the firm only earns a fee if our securities attorneys recover money on your behalf.
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