Jay Piekarczyk (CRD#: 1128773), formerly a registered representative with Pruco Securities, LLC in Joliet, Illinois, is currently under investigation by the Financial Industry Regulatory Authority (FINRA), according to his BrokerCheck record accessed on September 17, 2019. He is currently not affiliated with any member firm.
On August 30, 2019, FINRA recommended that disciplinary action be brought against Jay Piekarczyk for “circumvention of firm procedures regarding beneficiary designations on customer accounts and co-ownership of a bank account with a customer in violation of firm policy.” This comes after Jay Piekarczyk was discharged from Pruco Securities, LLC on July 11, 2018. According to his BrokerCheck record, he “maintained joint control of a customer’s outside bank account, without firm approval, and, upon the death of the customer, who was not an immediate family member, closed the account after withdrawing the funds from the account.” According to FINRA Regulatory Notice 19-27, “Many registered representatives develop close and trusted relationships with their customers, which in some instances have resulted in the customer naming the registered representative as the customer’s beneficiary, executor, or trustee or holding a power of attorney or a similar position. These positions of trust represent significant conflicts of interest, and FINRA has taken steps to address misconduct in this area.” Thus, FINRA is considering new rules about beneficiaries and is seeking public comment on the matter.
When a financial advisor holds a joint bank account with a customer, they blur the line between client and friend, which can lead to devastating consequences for all involved. If you have questions about beneficiary designations, don’t hesitate to contact a securities attorney. Call Fitapelli Kurta at (877) 238-4175 or email email@example.com for your free consultation.