gerald james ohalloran - finra brokercheck report

BrokerCheck Report

GERALD JAMES OHALLORAN

Report #85165-27106, data current as of Tuesday, October 01, 2013.

Section Title

Report Summary

Broker Qualifications

Registration and Employment History

Disclosure Events

CRD# 1056697

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2 - 4

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6

Page(s)

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About BrokerCheck®

BrokerCheck offers information on all current-and many former-FINRA-registered securities brokers, and all current andformer FINRA-registered securities firms. FINRA strongly encourages investors to use BrokerCheck to check thebackground of securities brokers and brokerage firms before deciding to conduct, or continue to conduct, business withthem.

·· What is included in a BrokerCheck report?BrokerCheck reports for individual brokers include information such as employment history, professionalqualifications, disciplinary actions, criminal convictions, civil judgments and arbitration awards. BrokerCheckreports for brokerage firms include information on a firm’s profile, history, and operations, as well as many of thesame disclosure events mentioned above.Please note that the information contained in a BrokerCheck report may include pending actions or allegationsthat may be contested, unresolved or unproven. In the end, these actions or allegations may be resolved in favorof the broker or brokerage firm, or concluded through a negotiated settlement with no admission or finding ofwrongdoing.

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o information FINRA and/or the Securities and Exchange Commission (SEC) require brokers andbrokerage firms to submit as part of the registration and licensing process, and

o information that regulators report regarding disciplinary actions or allegations against firms or brokers.

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GERALD J. OHALLORAN

CRD# 1056697

Currently employed by and registered with thefollowing FINRA Firm(s):

KOVACK SECURITIES INC.150 W. MCKENZIE STREETSUITE 111PUNTA GORDA, FL 33950CRD# 44848Registered with this firm since: 05/07/2004

Report Summary for this Broker

This report summary provides an overview of the broker's professional background and conduct. Additionalinformation can be found in the detailed report.

Disclosure Events

Disclosure events are certain criminal matters;regulatory actions; civil judicial proceedings; customercomplaints, arbitrations, or civil litigations;employment terminations; and financial matters inwhich the broker has been involved.

Are there events disclosed about this broker? Yes

The following types of disclosures have beenreported:

Type Count

Criminal 1

Customer Dispute 7

Termination 2


This broker is registered with:

2 Self-Regulatory Organizations

15 U.S. states and territories

This broker has passed:

0 Principal/Supervisory Exams

2 General Industry/Product Exams

1 State Securities Law Exam

Is this broker currently suspended or inactive withany regulator? No

Registration History

This broker was previously registered with FINRA atthe following brokerage firms:

FINANCIAL INVESTMENT ANALYSTS, INC.CRD# 16010PITTSBURGH, PA08/2002 - 05/2004

A. G. EDWARDS & SONS, INC.CRD# 4ST. LOUIS, MO11/1998 - 06/2000

EDWARD D. JONES & CO., L.P.CRD# 250ST. LOUIS, MO02/1992 - 09/1998

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1©2013 FINRA. All rights reserved. Report# 85165-27106 about GERALD J. OHALLORAN. Data current as of Tuesday, October 01, 2013.


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Registrations

This section provides the self-regulatory organizations (SROs) and U.S. states/territories the broker is currentlyregistered and licensed with, the category of each registration, and the date on which the registration became effective.This section also provides, for every brokerage firm with which the broker is currently employed, the address of eachbranch where the broker works.

This individual is currently registered with 2 SROs and is licensed in 15 U.S. states and territories through hisor her employer.

Employment 1 of 1Firm Name:

Main Office Address:

Firm CRD#:

KOVACK SECURITIES INC.

44848

6451 N. FEDERAL HWY.SUITE 1201FT. LAUDERDALE, FL 33308

SRO Category Status Date

FINRA General Securities Representative APPROVED 05/07/2004

NASDAQ Stock Market General Securities Representative APPROVED 07/12/2006

U.S. State/Territory

Category Status Date

California Agent APPROVED 05/07/2004

Colorado Agent APPROVED 10/24/2008

Delaware Agent APPROVED 01/06/2006

Florida Agent APPROVED 05/07/2004

Georgia Agent APPROVED 10/11/2005

Illinois Agent APPROVED 07/29/2005

Maryland Agent APPROVED 05/07/2004

Massachusetts Agent APPROVED 05/07/2004

Michigan Agent APPROVED 10/28/2008

Minnesota Agent APPROVED 05/17/2004

New Jersey Agent APPROVED 05/06/2013

North Carolina Agent APPROVED 05/07/2004

U.S. State/Territory

Category Status Date

Ohio Agent APPROVED 01/12/2006

Pennsylvania Agent APPROVED 12/11/2006

Tennessee Agent APPROVED 05/24/2006





http://www.finra.org/brokercheck_glossary



Employment 1 of 1, continued

Branch Office Locations

KOVACK SECURITIES INC.150 W. MCKENZIE STREETSUITE 111PUNTA GORDA, FL 33950







Industry Exams this Broker has Passed

This individual has passed 0 principal/supervisory exams, 2 general industry/product exams, and 1 statesecurities law exam.

This section includes all securities industry exams that the broker has passed. Under limited circumstances, a brokermay attain a registration after receiving an exam waiver based on exams the broker has passed and/or qualifying workexperience. Any exam waivers that the broker has received are not included below.

Exam Category Date

Principal/Supervisory Exams

No information reported.

Exam Category Date

General Industry/Product Exams

Investment Company Products/Variable Contracts Representative Examination 08/20/1982Series 6

General Securities Representative Examination 01/20/1992Series 7

Exam Category Date

State Securities Law Exams

Uniform Securities Agent State Law Examination 08/11/2003Series 63

Additional information about the above exams or other exams FINRA administers to brokers and other securitiesprofessionals can be found at www.finra.org/brokerqualifications/registeredrep/.






Registration and Employment History

Registration History

Registration Dates Firm Name CRD# Branch Location

This broker previously was registered with FINRA at the following firms:

08/2002 - 05/2004 FINANCIAL INVESTMENT ANALYSTS, INC. 16010 PITTSBURGH, PA

11/1998 - 06/2000 A. G. EDWARDS & SONS, INC. 4 ST. LOUIS, MO

02/1992 - 09/1998 EDWARD D. JONES & CO., L.P. 250 ST. LOUIS, MO

08/1982 - 12/1991 UNITED SERVICES PLANNING ASSOCIATION,INC.

3641 FORT WORTH, TX

Employment History

Employment Dates Employer Name Employer Location

Below is the broker's employment history for up to the last 10 years.

Please note that the broker is required to provide this information only while registered with FINRA and theinformation is not updated after the broker ceases to be registered. Therefore, an employment end date of"Present" may not reflect the broker's current employment status.

05/2004 - Present KOVACK SECURITIES INC. FT. LAUDERDALE, FL

01/2002 - Present FINANCIAL INVESTMENT ANALYSTS, INC. CANONSBURG, PA

Other Business Activities

This section includes information, if any, as provided by the broker regarding other business activities the broker iscurrently engaged in either as a proprietor, partner, officer, director, employee, trustee, agent or otherwise. This sectiondoes not include non-investment related activity that is exclusively charitable, civic, religious or fraternal and isrecognized as tax exempt.

1) DBA: DAEDALIAN FINANCIAL SERVICES, LLC - OWNER; SECURITIES 90% OF TIME SPENT; LIFE, HEALTH,ACCIDENT 5% OF TIME SPENT; LIFE INSURANCE 5% OF TIME SPENT; COMPENSATED ON COMMISSIONS.11/14/11






Disclosure Events

What you should know about reported disclosure events:

1. Disclosure events are certain criminal matters; regulatory actions; civil judicial proceedings; customercomplaints, arbitrations, or civil litigations; employment terminations; and financial matters in which the brokerhas been involved.

2. Certain thresholds must be met before an event is reported to CRD, for example: o A law enforcement agency must file formal charges before a broker is required to report a particular

criminal event. o A customer dispute must involve allegations that a broker engaged in activity that violates certain rules

or conduct governing the industry and that the activity resulted in damages of at least $5,000.

3. Disclosure events in BrokerCheck reports come from different sources: o As mentioned at the beginning of this report, information contained in BrokerCheck comes from brokers,

brokerage firms and regulators. When more than one of these sources reports information for the samedisclosure event, all versions of the event will appear in the BrokerCheck report. The different versionswill be separated by a solid line with the reporting source labeled.

4. There are different statuses and dispositions for disclosure events: o A disclosure event may have a status of pending, on appeal, or final.

§ A "pending" disclosure event involves allegations that have not been proven or formallyadjudicated.

§ A disclosure event that is "on appeal" involves allegations that have been adjudicated but arecurrently being appealed.

§ A "final" disclosure event has been concluded and its resolution is not subject to change. o A final disclosure event generally has a disposition of adjudicated, settled or otherwise resolved.

§ An "adjudicated" matter includes a disposition by (1) a court of law in a criminal or civil matter, or(2) an administrative panel in an action brought by a regulator that is contested by the partycharged with some alleged wrongdoing.

§ A "settled" matter generally represents a disposition wherein the parties involved in a disputereach an agreement to resolve the matter. Please note that brokers and brokerage firms maychoose to settle customer disputes or regulatory matters for business or other reasons.

§ A "resolved" matter usually includes a disposition wherein no payment is made to the customeror there is no finding of wrongdoing on the part of the individual broker. Such matters generallyinvolve customer disputes.

For your convenience, below is a matrix of the number and status of disclosure events involving this broker.Further information regarding these disclosure events can be found in the subsequent pages of this report. Youalso may wish to contact the broker to obtain further information regarding the disclosure events.






Final On AppealPending

Criminal 0 1 0

Customer Dispute 2 5 N/A

Termination N/A 2 N/A






Disclosure Event Details

When evaluating this information, please keep in mind that a discloure event may be pending or involve allegationsthat are contested and have not been resolved or proven. The disclosure event may, in the end, be withdrawn,dismissed, resolved in favor of the broker, or concluded through a negotiated settlement for certain business reasons(e.g., to maintain customer relationships or to limit the litigation costs associated with disputing the allegations) with noadmission or finding of wrongdoing.

This report provides the information exactly as it was reported to CRD and therefore some of the specific data fieldscontained in the report may be blank if the information was not provided to CRD.

Criminal - Final Disposition

This type of disclosure event involves a criminal charge against the broker that has resulted in a conviction, acquittal,dismissal, or plea. The criminal matter may pertain to any felony or certain misdemeanor offenses, including bribery,perjury, forgery, counterfeiting, extortion, fraud, and wrongful taking of property.

Disclosure 1 of 1

Reporting Source: Broker

Court Details: BROOKLINE, MA POLICE DEPT.NONE

Charge Date: 09/06/1956

Charge Details: UNAUTHORIZED VEHICLE USE

Felony? Yes

Current Status: Final

Status Date: 09/06/1956

Disposition Details:

Summary: AS A 17 YR OLD, I WAS INVOLVED WITH THREE OTHERSIN THE UNAUTHORIZED USE OF A VEHICLE. THESE CHARGES WEREDISMISSED. THREE YEARS LATER AT AGE 20, I DISCUSSED THE RECORDWITH THE SAME JUDGE. HE AGREED TO REMOVE THE RECORD SO ICOULDJOIN THE USAF. DURING THE PAST 35 YRS, I'VE HELD TOP SECRETCLEARANCES WITHIN THE DOD. THE JUDGE TOLD ME TO ACKNOWLEDGEANY RECORD OF THIS.

CHARGES DISMISSED.






Customer Dispute - Award/Judgment

This type of disclosure event involves a final, consumer-initiated, investment-related arbitration or civil suit containingallegations of sales practice violations against the broker that resulted in an arbitration award or civil judgment for thecustomer.

Disclosure 1 of 1


Employing firm whenactivities occurred which ledto the complaint:

Allegations:

KOVACK SECURITIES, INC.

UNAUTHORIZED TRANSACTIONS

Product Type: Equity - OTC

Other Product Type(s): BONDS

Alleged Damages: $64,193.00

Date Complaint Received: 10/16/2006

Complaint Pending? No

Status:


Settlement Amount:

Individual ContributionAmount:

Arbitration/Reparation Claimfiled with and Docket/CaseNo.:

FINRA #07-01446

Date Notice/Process Served: 08/25/2007

Arbitration Pending? No

Disposition: Award to Customer

Disposition Date: 05/21/2008

Monetary CompensationAmount:

$76,565.08

Customer Complaint Information

Arbitration Information


$48,000.00

Arbitration/Reparation





http://finraawardsonline.finra.org/authentication.aspx?CaseNum=07-01446


Summary: [CUSTOMER] WAS PRESENT AND AGREED TO ALL TRANSACTIONS DONEIN HER ACCOUNT. WHEN THE STOCK WHEN DOWN-SHE CAME IN MONTHSLATER ASKING ME TO MAKE GOOD FOR THE LOSSES OUT OF MY OWNPOCKET-WHICH I WOULD NOT DO. SHE THREATEN TO SUE AND RUIN MYREPUTATION IN THE SMALL COMMUNITY.


$48,000.00






Customer Dispute - Settled

This type of disclosure event involves a consumer-initiated, investment-related complaint, arbitration proceeding or civilsuit containing allegations of sale practice violations against the broker that resulted in a monetary settlement to thecustomer.

Disclosure 1 of 3



Allegations:

KOVACK SECURITIES, INC.

CUSTOMER ALLEGES UNAUTHORIZED TRADES IN THE ACCOUNT DURINGFEBRUARY 2011. CLIENT DISCOVERED THE TRADES IN MARCH 2011.

Product Type: Other: REVERSE CONVERTIBLE NOTES




Status:


Settlement Amount: $14,000.00


$14,000.00


Settled

Alleged Damages AmountExplanation (if amount notexact):

APPROXIMATE UNREALIZED LOSS

Is this an oral complaint? No

Is this a written complaint? Yes

Is this an arbitration/CFTCreparation or civil litigation?

No

Disclosure 2 of 3

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Reporting Source: Firm







Allegations:

A.G. EDWARDS & SONS, INC.

ALLEGES UNUATHORIZED TRANSACTIONS. SEEKS REIMBURSEMENT OFTRANSACTION. LOSSES IN EXCESS OF $5,000.00

Product Type: Equity Listed (Common & Preferred Stock)

Alleged Damages:



Status:




$0.00


Settled

iReporting Source: Broker


Allegations:

A. G. EDWARDS & SONS, INC.

ALLEGED UNAUTHORIZED TRANSACTIONS. CUSTOMER WAS SEEKINGREIMBURSEMENT OF TRANSCTION LOSSES IN EXCESS OF $5,000 FROMONE TRADE. FINAL SETTLEMENT AMOUNTED TO $8,646.30

Product Type: Equity Listed (Common & Preferred Stock)




Status:




$8,646.30


Settled







$8,646.30

Summary: BOUGHT 150 SH. S-1 CORP (SONE) 3/29/2000 @ 92 ($13,939). TRADECONFIRM REFLECTED S-1 CORP. CLIENT WAS CONFUSED. I REMINDEDHER THAT WAS SAME STOCK WE AGREED ON AS (SONE) SYMBOL. OKAY!ALMOST DAILY DISCUSSIONS REGARDING ENTIRE PORTFOLIO. MET INOFFICE 4/12 & 5/4. REVIEWED ANALYST REPORTS (S & P & GOLDMANSACHS). STOCK DOWN WITH HIGH TECH MARKET, BUT SHE WAS HAPPYWITH FORECAST & AGREED TO KEEP SONE. SELL WHEN LOSSRECOVERED. CLIENT REACTS TO EVERY TV REPORT. AGAINST OURADVICE, INCLUDING MANAGER, SHE SOLD $15,000 OF MFD, CLASS ASHARES, OWNED ONLY 2 MONTHS, TO BUY LATEST FAD STOCK.

Disclosure 3 of 3

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Allegations:

EDWARD D. JONES & CO., LP

THE CUSTOMER CLAIMS HE DID NOT AUTHORIZE THEEX-IR TO LIQUIDATE $250,000.00 TOTAL FROM TWO OF HIS MUTUALFUNDS HOLDINGS AND INVEST THE PROCEEDS IN A VARIABLE ANNUITY.CUSTOMER DEMANDS THAT THE ANNUITY BE LIQUIDATED AND THAT HISFUND HOLDINGS BE REINSTATED WITH ANY NECESSARY ADJUSTMENTSBEING MADE SO HE DOES NOT SUFFER ANY LOSSES AS A RESULT OFTHEIR'S ACTION.

Product Type:

Alleged Damages:



Status:




Summary: THE CUSTOMER'S ANNUITY WAS LIQUIDATED AND THETWO MUTUAL FUNDS HOLDINGS WERE REINSTATED PER THECUSTOMER'SREQUEST, AT NO COST TO THE CUSTOMER. MARKET LOSSES INCURREDDURING THE TRANSFERS WERE $9,609.82.


Settled






Summary: THE CUSTOMER'S ANNUITY WAS LIQUIDATED AND THETWO MUTUAL FUNDS HOLDINGS WERE REINSTATED PER THECUSTOMER'SREQUEST, AT NO COST TO THE CUSTOMER. MARKET LOSSES INCURREDDURING THE TRANSFERS WERE $9,609.82.



Allegations:


CUSTOMER CLAIMS HE DID NOT AUTHORIZE THEEX-IR TO LIQUIDATE $250,000 TOTAL FROM TWO OF HIS MUTUAL FUNDSHOLDINGS AND INVEST THE PROCEEDS IN A VARIABLE ANMITY.CUSTOMERWANTS TO EXERCISE HIS FREE LOOK PRIVILEGE, AND PLACE THEPROCEEDS BACK INTO THE MUTUAL FUNDS WITHOUT ANY LOSS TO HIM.

Product Type:

Alleged Damages:



Status:




Summary: $9,609.82 SETTLEMENTON OR ABOUT AUGUST 14TH I CONTACTED THE CUSTOMER.PART OF OUR DISCUSSION CONCERNED TAXES, HE FELT IT WAS TOOMUCH. I TOLD HIM WE COULD TAKE HALF OF HIS AMERICAN FUNDS ANDMOVE THEM TO A TAX DEFERRED STATUS USING AMERICAN FUNDS ASLONGAS HE HAD NO PLANS TO USE THE MONEY FOR ABOUT TEN YEARS. ITOLDHIM THAT THIS WOULD BE AN ANNUITY, AND HE WOULD NEED TO NAME ABENEFICIARY. HE IS STILL SINGLE SO HE TOLD ME TO NAME HIS TRUSTAS BENEFICIARY. DURING THE LAST WEEK IN SEPTEMBER, THE JONES IRWHO TOOK OVER MY OFFICE, CALLED ME TO VERIFY THAT THECUSTOMER'S TRUST WAS NAMED AS BENEFICIARY. SHE SAID THECUSTOMER HAD TOLDME TO DO THAT A MONTH AGO. THIS ANNUITY IS VERY MUCH IN HISBEST INTEREST. IT'S UNFORUNATE THAT SOMEONE HAS DISSUADED HIM.


Settled






AS BENEFICIARY. DURING THE LAST WEEK IN SEPTEMBER, THE JONES IRWHO TOOK OVER MY OFFICE, CALLED ME TO VERIFY THAT THECUSTOMER'S TRUST WAS NAMED AS BENEFICIARY. SHE SAID THECUSTOMER HAD TOLDME TO DO THAT A MONTH AGO. THIS ANNUITY IS VERY MUCH IN HISBEST INTEREST. IT'S UNFORUNATE THAT SOMEONE HAS DISSUADED HIM.






Customer Dispute - Closed-No Action/Withdrawn/Dismissed/Denied

This type of disclosure event involves (1) a consumer-initiated, investment-related arbitration or civil suit containingallegations of sales practice violations against the individual broker that was dismissed, withdrawn, or denied; or (2) aconsumer-initiated, investment-related written complaint containing allegations that the broker engaged in sales practiceviolations resulting in compensatory damages of at least $5,000; forgery, theft, or misappropriation; or conversion offunds or securities that was closed without action, withdrawn, or denied.

Disclosure 1 of 1



Allegations: CUSTOMER CLAIMED HE ADVISED EX-IR TO TRANSFERHIS SECURITIES TO OUR FIRM IN MARCH OF 1998. CUSTOMER THENSTATES HE WAS ADVISED BY EX-IR IN MAY THAT FUNDS COULD NOT BETRANSFERRED AND NEEDED TO BE SOLD TO COMPLETE THE TRANSFER.HECLAIMED HE INSTRUCTED IR (EMPLOYED BY EDWARD JONES) TOLIQUIDATE THE INVESTMENT AND COMPLETE THE TRANSFER.

Product Type:




Status:


Settlement Amount:


Summary: CUSTOMER WAS ADVISED THAT EX-IR'S OFFICE MADEDILIGENT EFFORTS TO COMPLETE THE REQUESTED TRANSFER. THEREWERE DELAYS IN THE TRANSFER PROCESS THAT WERE UNUSUAL.HOWEVERCUSTOMER STATEMENTS INDICATE MONEY THAT WAS RECEIVED INTOHISACCOUNT WAS INVESTED IN STOCK FUNDS PER CUSTOMERSINSTRUCTION.SINCE THESE TRADES DID INDICATE CUSTOMER INTENT TO STAY INMARKET CUSTOMER REQUEST THAT HE BE REIMBURSED FOR MARKETLOSSESRESULTING FROM DELAYED TRANSFER WAS REJECTED.Not Provided


Closed/No Action






SINCE THESE TRADES DID INDICATE CUSTOMER INTENT TO STAY INMARKET CUSTOMER REQUEST THAT HE BE REIMBURSED FOR MARKETLOSSESRESULTING FROM DELAYED TRANSFER WAS REJECTED.Not Provided



Allegations: CUSTOMER CLAIMED HE ADVISED EX-IR TO TRANSFERHIS SECURITIES TO JONES IN MARCH OF 1998. CUSTOMER THEN STATESHE WAS ADVISED BY EX-IR IN MAY THAT FU NDS COULD NOT BETRANSFERRED AND NEEDED TO BE SOLD TO COMPLETE TRANSFER. HECLAIMED HE INSTRUCTED IR TO LIQUIDATE THE INVESTMENT ANDCOMPLETE THE TRANSFER. FUNDS WERE NOT LIQUIDATED UNTILSEPTEMBER AND CUSTOMER CLAIMED DELAY RESULTED IN A $25,000LOSSAND REQUESTS REIMBURSEMENT.

Product Type:




Status:


Settlement Amount:


Summary: CUSTOMER WAS ADVISED THAT EX-IRS OFFICE MADEDILIGENT EFFORTS TO COMPELTE REQUESTED TRANSFER. THERE WEREDELAYS THAT WERE UNUSUAL. HOWEVER CUSTOMER STATEMENTSINDICATETHAT MONEYS RECEIVED INTO HIS ACCOUNT WAS INVESTED IN STOCKFUNDS PER CUSTOMER INSTRUCTIONS. SINCE THESE TRADESINDICATEDCUSTOMERS INTENT TO STAY IN MARKET HIS REQUEST THAT HE BEREIMBURSED WAS REJECTED.THE COMPANY HOLDING CUSTOMER'S SECURITIES AEGONWENT OUT OF BUSINESS DURING THE ACAT TRANSFER. INITIALLYEVERYTHING WAS TRANSFERRED TO JONES. JONES THEN RETURNEDTWOASSETS THEY COULD NOT HOLD. DURING THIS TIME THE SECURITIESWERE TRANSFERRED TO NFSC. MAY SUBSEQUENT ACAT REQUEST TOLIQUIATE WERE IGNORED. AFTER MANY ATTEMPS AND WITH HELP FROMCUSTOMER'S FORMER BROKER, WE LOCATED A CONTACT ON AUG 24TH.CUSTOMER WAS NOTIFED AND THE LIQUDATION INITIATED. MY ASSISANTWAS ACTIVELY INVOLVED AND COULD PROVIDE SPECIFIC DATES.AFTERWARD NFSC TOLD US THEY WOULD NOT ACCEPT WRITTENREQUEST.WE DID EVERYTHING WITHIN REASON. CUSTOMER TOLD ME TOLIQUIDATEAND ADD PROCEEDS TO HIS MUTUAL FUNDS.


Closed/No Action






CUSTOMERS INTENT TO STAY IN MARKET HIS REQUEST THAT HE BEREIMBURSED WAS REJECTED.THE COMPANY HOLDING CUSTOMER'S SECURITIES AEGONWENT OUT OF BUSINESS DURING THE ACAT TRANSFER. INITIALLYEVERYTHING WAS TRANSFERRED TO JONES. JONES THEN RETURNEDTWOASSETS THEY COULD NOT HOLD. DURING THIS TIME THE SECURITIESWERE TRANSFERRED TO NFSC. MAY SUBSEQUENT ACAT REQUEST TOLIQUIATE WERE IGNORED. AFTER MANY ATTEMPS AND WITH HELP FROMCUSTOMER'S FORMER BROKER, WE LOCATED A CONTACT ON AUG 24TH.CUSTOMER WAS NOTIFED AND THE LIQUDATION INITIATED. MY ASSISANTWAS ACTIVELY INVOLVED AND COULD PROVIDE SPECIFIC DATES.AFTERWARD NFSC TOLD US THEY WOULD NOT ACCEPT WRITTENREQUEST.WE DID EVERYTHING WITHIN REASON. CUSTOMER TOLD ME TOLIQUIDATEAND ADD PROCEEDS TO HIS MUTUAL FUNDS.






Customer Dispute - Pending

This type of disclosure event involves (1) a pending consumer-initiated, investment-related arbitration or civil suit thatcontains allegations of sales practice violations against the broker; or (2) a pending, consumer-initiated, investment-related written complaint containing allegations that the broker engaged in, sales practice violations resulting incompensatory damages of at least $5,000; forgery, theft, or misappropriation; or conversion of funds or securities.

Disclosure 1 of 2



Allegations: CUSTOMER CLAIMS SHE DID NOT AUTHORIZE IR TOREINVEST THE PROCEEDS OF A $35,000 BOND THAT WAS CALLED WHILESHE WAS OUT OF THE COUNTRY. SHE ALSO CLAIMS SHE ADVISED IRTHAT SHE WOULD NEED $75,000 SHE DEPOSITED INTO HER ACCOUNT TOBUILD A HOME. IR RECOMMENDED SHE INVEST THE $75,000 INTO AN ANNUITY. CUSTOMER HAS NOW BEEN ADIVSED THERE WILL BE A $4,300WITHDRAWAL FEE AND TAX BILL IF SHE WITHDRAWS THE MONEY.WANTSTO BE MADE WHOLE. ON 12/18/98 A SECOND LETTER WAS RECEIVEDFROM CUSTOMER IN WHICH SHE STATES SHE HAD RECEIVEDINACCURATEINFORMATION FROM THE INSURANCE COMPANY ABOUT THE ANNUITY.SHEINDICATES SHE HAS BEEN ADVISED BY HER CPA THAT THE TAXINFORMATION SHE RECEIVED WAS NOT CORRECT AND SHE ALSOBELIEVESTHE WITHDRAWAL FEE ALSO MAY NOT BE RIGHT. INDICATES SHE NOWWANTS TO LEAVE HER INVESTMENTS INTACT WHILE SHE CONFIRMS THEINFORMATION.

Product Type:

Alleged Damages:


Complaint Pending? Yes

Settlement Amount:


Summary: Not ProvidedNot Provided







Summary: Not ProvidedNot Provided



Allegations: CUSTOMER CLAIMS SHE DID NOT AUTHORIZE IR TOREINVEST THE PROCEEDS OF A $35,000 BOND THAT WAS CALLED WHILESHE WAS OUT OF THE COUNTRY. CUSTOMER ALSO CLAIMS SHE ADVISEDIRTHAT SHE WOULD NEED $75,000 SHE DEPOSITED INTO HER ACCOUNT TOBUILD A HOME. IR RECOMMENDED SHE INVEST THE $75,000 INTO ANANNUITY. CUSTOMER NOW HAS BEEN ADVISED THERE WILL BE A $4300WITHDRAWAL FEE AND TAX BILL IF SHE WITHDRAWS THE MONEY. WANTSTO BE MADE WHOLE.

Product Type:

Alleged Damages:



Settlement Amount:


Summary: IN MAY 1997 HER ESTIMATED COST OF HER REMODELINGWAS $25K-$35K. SINCE THIS MUCH WAS AVAILABLE I SUGGESTEDINVESTING THE $75,000 IN HER ANNUITY FOR HER RETIREMENT. SHEAGREED. SHE ALSO SAID SHE HAD OTHER MONEY SHE COULD ALSO USEFOR REMODELING. IN APRIL, 1998, I TOLD HER THAT HER BOND MAY BECALLED IN MAY. WE AGREED TO FIND ANOTHER WITH HALF, KEEP $5000IN MM, AND ADD THE REMAINDER TO HER EXISTING ICA FUND. SHE WASPLEASED WITH THE RESULTS WHEN WE REVIEWED HER ACCOUNT EARLYAUGUST 1998. HER PENALTY TO WITHDRAW $75,000 FROM HER ANNUITYIS $2775, NOT THE AMOUNT SHE WAS ADVISED. IF SHE USES HER BOND,ICA AND MM AS PLANNED ($45,000) HER PENALTY TO W/D THEDIFFERENCE WOULD BE $300. DEC 18, CUSTOMER NOTIFIED JONESTO LEAVE HER ACCT AS INVESTED, SHE'S USING OTHER MONEY FOR THEREMODELING. HER $75,000 INCREASED TO $105,000+, A 40% INCREASE.







Disclosure 2 of 2

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Allegations:


CUSTOMER CLAIMS THAT IR WHILE EMPLOYED BYEDWARD JONES ENTERED ORDERS TO PURCHASE MUTUAL FUNDS INHERACCOUNT WITHOUT HER AUTHORIZATION. ALSO CLAIMS IR ADVISED HERTHERE WOULD BE NO UPFRONT CHARGES OR COMMISSION FEES WHENSHEREINVESTED HER PORTFOLIO. UPSET WITH THE OVER $20,000.00 INUNREALIZED LOSSES ON HER INVESTMENTS. REQUESTS ASSISTANCEWITHNO AMOUNT MENTIONED.

Product Type:

Alleged Damages:



Status:


Settlement Amount:


Summary: IR CLAIMS HE DISCUSSED THE MUTUAL FUNDS WITH THECUSTOMER AND PROVIDED HER WITH PROSPECTUSES PRIOR TO THEINVESTMENT BEING MADE. THE DISCUSSION INCLUDED A DESCRIPTIONOF THE COMMISSION. IR CLAIMS HE FOLLOWED THE CUSTOMERSINSTRUCTIONS WHEN THE MONEY WAS ACCEPTED INTO THE ACCOUNT.ALSOCLAIMS CUSTOMER'S HUSBAND CALLED ON CUSTOMER BEHALF TOCONFIRMINVESTMENTS WERE MADE. CUSTOMER RECEIVED CONFIRMS BUT DIDNOTCOMPLAIN UNTIL AFTER THE MARKET DROPPED. CLAIM DENIED.


Denied






COMPLAIN UNTIL AFTER THE MARKET DROPPED. CLAIM DENIED.



Allegations:


CUSTOMER CLAIMS THAT IR ENTERED ORDERS TOPURCHASE MUTUAL FUNDS IN HER ACCOUNT WITHOUT HERAUTHORIZATION. ALSO CLAIMS IR ADVISED HER THERE WOULD BE NO FRONT CHARGESORCOMMISSION FEES WHEN SHE REINVESTER HER PORTFOLIO. UPSETWITHOVER $20,000 UNREALIZED LOSSES DOWN TO $150,000 ON AUGUST 1998STATEMENT

Product Type:

Alleged Damages:



Status:


Settlement Amount:


Summary: IR CLAIMS HE DISCUSSED THE MUTUAL FUNDS WITH THECUSTOMER AND PROVIDED HER WITH PROSPECTUSES PRIOR TO THEINVESTMENT BEING MADE. THE DISCUSSION INCLUDED A DESCRIPTIONOF THE COMMISSIONS. IR CLAIMS HE FOLLOWED CUSTOMERSINSTRUCTIONS. ALSO CLAIMS HER HUSBAND CALLED ON HER BEHALF TOCONFIRM INVESTMNENTS WERE MADE. CUSTOMER RECEIVEDCONFIRMS BUTDID NOT COMPLAIN UNITL AFTER THE MARKET DROPPED. CLAIM DENIEDI HAVE NO ACCESS TO THE CLIENTS OR HER RECORDS.I CONTACTED GREAT AMERICAN. THEY SAID THERE WOULD BE NOPENALTYTO TRANSFER HER IRS. THE CUSTOMER MAY BE REFERRING TO THETAXESTHAT WERE REQUIRED TO BE WITHHELD ON HER TSA (SHES OVER 701/2).WE DID DUSCUSS THE UP FRONT FEES OF A VARIABLE ANNUITY. I ALSOEXPLAINED THE INDIVDUAL FUND FEES AND THE RECUDED ANNUALEXPENSES COMPARED TO AN ANNUITY. WE AGREED TO THIS STRATEGYAND THE FUNDS. I REVIEWED THE BROCHURES AND THE PROSPECTUSWITHTHEM BOTH THEY WENT NORTH. SEVERAL MONTHS LATER THECUSTOMERS CALLED TO TELL ME ABOUT HER PENDING SURGERIES TOINSURE THATTHE FUNDS TRANSFERRED AND INVESTED, AND TO CONFIRM THEBENEFICIARY. USING FUNDS VS ANNUITY MY COMMISSION IS RECUDEDBYABOUT 1/3.


Denied






TO TRANSFER HER IRS. THE CUSTOMER MAY BE REFERRING TO THETAXESTHAT WERE REQUIRED TO BE WITHHELD ON HER TSA (SHES OVER 701/2).WE DID DUSCUSS THE UP FRONT FEES OF A VARIABLE ANNUITY. I ALSOEXPLAINED THE INDIVDUAL FUND FEES AND THE RECUDED ANNUALEXPENSES COMPARED TO AN ANNUITY. WE AGREED TO THIS STRATEGYAND THE FUNDS. I REVIEWED THE BROCHURES AND THE PROSPECTUSWITHTHEM BOTH THEY WENT NORTH. SEVERAL MONTHS LATER THECUSTOMERS CALLED TO TELL ME ABOUT HER PENDING SURGERIES TOINSURE THATTHE FUNDS TRANSFERRED AND INVESTED, AND TO CONFIRM THEBENEFICIARY. USING FUNDS VS ANNUITY MY COMMISSION IS RECUDEDBYABOUT 1/3.






Employment Separation After Allegations

This type of disclosure event involves a situation where the broker voluntarily resigned, was discharged or was permittedto resign after allegations were made that accused the broker of (1) violating investment-related statutes, regulations,rules or industry standards of conduct; (2) fraud or the wrongful taking of property; or (3) failure to supervise in connectionwith investment-related statutes, regulations, rules or industry standards of conduct.

Disclosure 1 of 2


Employer Name: A. G. EDWARDS & SONS, INC.

Termination Type: Permitted to Resign

Termination Date: 05/05/2000

Allegations: IMPROPER HANDLING OF CUSTOMER COMMUNICATION.

Product Type: Equity - OTC

Other Product Types:

Summary: CLIENT LETTER NOT GIVEN TO MANAGER. THE LETTER CONFIRMED ANADJUSTMENT TO HER ACCOUNT. MY SHARED ASSISTANT HANDED METHE LETTER THURSDAY, MAY 11, 2000, A SHORT TIME PRIOR TO MYLEAVING THE OFFICE FOR A 4-DAY ROTARY CONFERENCE. I ASSUMEDSHE GAVE A COPY TO THE MANAGER AS THAT WAS THE ESTABLISHEDPROCEDURE. I SHOULD HAVE ASSUMED THIS RESPONSIBILITY MYSELF.

Disclosure 2 of 2

i


Employer Name: EDWARD D. JONES & CO., L.P.

Termination Type: Discharged

Termination Date: 09/01/1998

Allegations: UNAPPROVED USE OF COMMUNICATIONS WITH THEPUBLIC AND FAILURE TO COMPY WITH RECORD KEEPINGREQUIREMENTS.

Product Type: Debt - Corporate

Other Product Types:

Summary: UNANNOUNCED JONES AUDIT, UNSAT. TRADE CONFIRMS RETAINED INTWO CLIENT FILES AT CLIENT REQUEST FOR THEM TO PICK UP LATER.MY ASST. FAX'D FUND COST BASIS W/O DISCLAMER, AND FUND INFO FORINTERNAL USE ONLY. I INCORRECTLY USED ONE KEY STROKE ANDSELECTED WRONG FUND INFO. CLIENT HAD REC'DPROSPECTUS THE DAY BEFORE. SENT BOND INVENTORY TO CLEINT.COMPANY LATER CHANGED COMPUTER TO INT. USE ONLY. OLD,CANCELLED ANNUITIES RETAINED IN CLIENT FILE. ADV. RECEIPTS NOTAVAIL. THEY WERE IN OFFICE, BUT IT WAS PART-TIME EMPLOYEES DAYOFF, AND INSPECTOR COULD NOT LOCATE. JONES HAS ALL ONE-BROKEROFFICES AND SUPEVISION CONDUCTED FROM MO. FIRM DISCOVERED IRECEIVED A TRANSFER PROPOSAL, WITH LARGE BONUS, TO COMPETINGFIRM.






SELECTED WRONG FUND INFO. CLIENT HAD REC'DPROSPECTUS THE DAY BEFORE. SENT BOND INVENTORY TO CLEINT.COMPANY LATER CHANGED COMPUTER TO INT. USE ONLY. OLD,CANCELLED ANNUITIES RETAINED IN CLIENT FILE. ADV. RECEIPTS NOTAVAIL. THEY WERE IN OFFICE, BUT IT WAS PART-TIME EMPLOYEES DAYOFF, AND INSPECTOR COULD NOT LOCATE. JONES HAS ALL ONE-BROKEROFFICES AND SUPEVISION CONDUCTED FROM MO. FIRM DISCOVERED IRECEIVED A TRANSFER PROPOSAL, WITH LARGE BONUS, TO COMPETINGFIRM.






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gerald james ohalloran - finra brokercheck report

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