Finra sues broker who failed to report sexual conduct charge

Finra sues broker who failed to report sexual conduct charge
James Paquette was sentenced last month to 10 years in jail.
FEB 07, 2019

The Financial Industry Regulatory Authority Inc. sued a former registered representative Wednesday for failing in May 2016 to report to his broker-dealer a felony criminal sexual conduct charge by South Carolina. The broker, James Paquette, worked for 10 firms over 26 years, according to his BrokerCheck report. Last month, a jury in Charleston County, S.C., found Mr. Paquette, 55, guilty of the charge and he was sentenced to the maximum 10-year sentence, according to a statement from the State of South Carolina. He also is required to register as a sex offender. Registered reps who face felony charges must report those on their employment records, or Form U-4 disclosures, according to industry rules. When he was charged with the crime, Mr. Paquette did not notify his firm, according to the Finra complaint. Most recently, he worked with small broker-dealer Vestech Securities Inc., from October to mid-January. Mr. Paquette was fired by Vestech because he "misled the firm on facts and circumstances relating to the court case throughout the hiring process and during his brief tenure," according to the firm's BrokerCheck report. An employee with Vestech said she did not know how to contact Mr. Paquette for a comment. Calls to Mr. Paquette's residence in South Carolina on Wednesday did not ring through.

Latest News

Maryland bars advisor over charging excessive fees to clients
Maryland bars advisor over charging excessive fees to clients

Blue Anchor Capital Management and Pickett also purchased “highly aggressive and volatile” securities, according to the order.

Wave of SEC appointments signals regulatory shift with implications for financial advisors
Wave of SEC appointments signals regulatory shift with implications for financial advisors

Reshuffle provides strong indication of where the regulator's priorities now lie.

US insurers want to take a larger slice of the retirement market through the RIA channel
US insurers want to take a larger slice of the retirement market through the RIA channel

Goldman Sachs Asset Management report reveals sharpened focus on annuities.

Why DA Davidson's wealth vice chairman still follows his dad's investment advice
Why DA Davidson's wealth vice chairman still follows his dad's investment advice

Ahead of Father's Day, InvestmentNews speaks with Andrew Crowell.

401(k) participants seek advice, but few turn to financial advisors
401(k) participants seek advice, but few turn to financial advisors

Cerulli research finds nearly two-thirds of active retirement plan participants are unadvised, opening a potential engagement opportunity.

SPONSORED RILAs bring stability, growth during volatile markets

Barely a decade old, registered index-linked annuities have quickly surged in popularity, thanks to their unique blend of protection and growth potential—an appealing option for investors looking to chart a steadier course through today’s choppy market waters, says Myles Lambert, Brighthouse Financial.

SPONSORED Beyond the dashboard: Making wealth tech human

How intelliflo aims to solve advisors' top tech headaches—without sacrificing the personal touch clients crave