Melbourne Beach FL Broker Fined and Suspended by FINRA for Altering Client Forms

The Fort Lauderdale-based Soreide Law Group, (888) 760-6552, obtained the following summary of information which is located on FINRA’s website, under “Disciplinary and Other FINRA Actions, August, 2014.”

Karen Lee Chafe (CRD #1935625, Melbourne Beach, Florida)

was assessed a deferred fine of $5,000 and suspended by FINRA member for one year. FINRA reports that Chafe modified and resubmitted forms requesting the withdrawal of funds from annuity contracts, distributions from individual retirement accounts (IRAs), or modifications of arrangements for periodic distributions from IRAs.

FINRA's findings stated that instead of using new forms for clients, Chafe reused old forms and submitted the altered forms as originals to her member firm or the annuity company.

FINRA found that within a six-year period Karen Chafe submitted altered at least 61 times with 14 clients. Chafe admitted this in a FINRA information request.

The suspension is in effect from June 16, 2014, through June 15, 2015.

Karen Lee Chafe, according to FINRA's BrokerCheck, was previously registered with the following securities firm(s):

Registered Dates Firm
12/2002 - 01/2012 BERTHEL, FISHER & COMPANY FINANCIAL SERVICES, INC. (CRD# 13609) - MELBOURNE, FL

04/1996 - 12/2002 WACHOVIA SECURITIES FINANCIAL NETWORK, INC. (CRD# 11025) - ST. LOUIS, MO

05/1995 - 04/1996 CADARET, GRANT & CO., INC. (CRD# 10641) - SYRAC-- USE, NY

01/1992 - 05/1995 TRANSAMERICA FINANCIAL RESOURCES, INC. (CRD# 3600) - LOS ANGELES, CA

11/1989 - 08/1991 ANCHOR MANAGEMENT GROUP, INC. (CRD# 25022) - MELBOURNE, FL

03/1989 - 10/1989 ANCHOR NATIONAL FINANCIAL SERVICES, INC. (CRD# 5774)

This ends the information from FINRA.

If you've had investment losses due to your broker’s recommendations call Ft. Lauderdale-based Soreide Law Group for a free consultation with an attorney: 888-760-6552. Soreide Law Group will represent clients nationwide before FINRA.