A former Morgan Stanley broker is on the hook for $5,000 over allegations that he let a client’s wife trade and make withdrawals from her husband’s account without proper authorization, the industry’s self-regulator says.
Morgan Stanley discharged Eugene Nathan Gordon in February 2018 over allegations that Gordon had allowed an unnamed client’s wife, who was also a client at Morgan Stanley, to withdraw money and make other transactions in the husband’s individual retirement account without the husband’s written authorization, according to Gordon’s BrokerCheck record.
Gordon made the transactions, which included mutual fund trades and distributions to a bank account held jointly by the couple, from January 2013 to March 2017, according to a letter of acceptance, waiver and consent published by Finra.
In all, Gordon allegedly made 32 distributions from the husband’s IRA to the couple’s account for a total of $317,704.88, the regulator says.
Additionally, Gordon allegedly entered inaccurate notes indicating that he had spoken to the client about certain distributions when he actually had spoken with the client’s wife, according to the letter of acceptance.
Gordon agreed to a 90-day suspension and a $5,000 fine without admitting or denying the regulator’s findings, Finra says.
Gordon joined the financial services industry in 2003, registering with Citigroup Global Markets Inc., and became associated with Morgan Stanley in 2009 when CGMI and Morgan Stanley merged, Finra says. After getting discharged from Morgan Stanley, Gordon joined Fortune Financial Services in March 2018 and remains registered there, according to BrokerCheck.