Bobby Eugene Guess, who promoted himself as a financial maven through radio advertising and financial seminars, was indicted on charges related to the multi-million-dollar sale of investments in an internet advertising company.
Says wirehouse overbilled investment advisory clients due to coding and other billing system errors.
Move is among a series of changes the firm is making as it gets ready for deadline on implementing DOL fiduciary rule.
That rule is intended to safeguard clients' cash and securities so they can be promptly returned should the broker-dealer fail.
Advisers produced average annualized revenue of $1 million in the period.
This is at least the second time this fall that Merrill has had a high-profile termination over improper expense reporting.
Brokers will be expected to provide two referrals a year to the bank or face a 1% penalty on their payout. <b><i>(More: <a href="//www.investmentnews.com/article/20161011/FREE/161019987/morgan-stanley-sales-contests-among-advisers-didnt-help-clients"" target=""_blank"" rel="noopener noreferrer">Morgan Stanley sales contests among advisers didn't help clients</a>)</b></i>
The company, formerly known as Franklin Square, filed a registration with the SEC Monday for a $2.5 billion commercial mortgage nontraded real estate investment trust.
Arraigned in federal court Wednesday, Brian S. Block's trial date is set for May 15.
