Southeast Florida Broker Barred For Declining To Cooperate With Investigation Into Alleged Outside Business Activities

Nedjeen Baptiste (CRD#: 6308317) is a previously registered securities broker. From May of 2015 through July of 2020, Ms. Baptiste was a representative of J.P. Morgan Securities LLC in Lantana, Florida. In March, the Financial Industry Regulatory Authority (FINRA) barred financial advisor Nedjeen Baptiste for failing to produce documents and information requested as part of an investigation into allegations of unapproved outside business activities (OBAs). In this blog post, our Miami financial advisor negligence attorney provides an overview of the disciplinary action taken against the Palm Beach County securities broker.

Broker Sanctions: Nedjeen Baptiste Formerly of J.P. Morgan Securities LLC 

Background 

In July of 2020, J.P. Morgan Securities LLC filed a notice of termination of registered representative Nedjeen Baptiste. While the form submitted by J.P. Morgan Securities initially stated that her position no longer required registration, the broker-dealer updated the filing a month later stating that Ms. Baptiste was terminated from her position for “participating in an unapproved outside business activity.”FINRA launched its own inquiry and investigation into the allegations raised against this broker after it received the updated Form U5. 

Violative Conduct: FINRA Rule 8210 and FINRA Rule 2010 

The securities industry has strict rules in place regarding outside business activities (OBAs). Registered representatives are required to disclose and seek approval for outside business activities to help ensure that customers are protected and conflicts of interests are avoided. Under FINRA RUle 3270, no registered representative may receive compensation for an outside business activity unless they provide prior written notice to their member firm.

Based on documents provided to FINRA,  J.P. Morgan Securities terminated Florida broker Nedjeen Baptiste for her failure to notify the firm and seek approval for outside business activities. FINRA attempted to investigate the matter. However, in violation of securities industry regulations (FINRA Rule 8210 and FINRA Rule 2010), Ms. Baptiste declined to cooperate with the investigation. In February of 2021, she acknowledged that she received the official requests for information and documents from the agency. However, despite the requirement to cooperate with FINRA investigators, Ms. Baptiste declined to produce the information requested. 

Sanctions Against the Broker 

Without admitting or denying any wrongdoing in this matter, former J.P. Morgan Securities broker Nedjeen Baptiste has agreed to accept FINRA’s penalties. She is now subject to an indefinite bar from associating with any FINRA member firm in any professional capacity. No findings were made by the agency regarding her participation in unapproved outside business activities.

Get Help From a FINRA Arbitration Attorney in Miami, Florida

At ​Carlson & Associates, P.A., our Florida investor rights lawyers have experience representing clients in outside business activity claims. If you suffered financial harm due to misconduct by your advisor, we can help. Call our firm now to request a fully private review and evaluation of your case. With a conveniently located office in Miami, we handle FINRA arbitration claims throughout the area, including in Miami-Dade County and Broward County.

Resource:

brokercheck.finra.org/individual/summary/6308317