Broker banned by FINRA for reportedly cheating on exams
Brokers-to-be who are looking to break into day trading may want to be a little more inconspicuous if they cheat on tests, or not cheat at all.
The Financial Industry Regulatory Authority claims Andrew Yoro cheated on the Series 7 examination by “consulting study materials during unscheduled breaks and then changing some of his answers.”
According to a FINRA complaint filed on October 4, Yoro started in the securities industry in October 2017 when he became associated with Charles Schwab & Co. Inc. Yoro took the Series 7 exam a month later and registered with FINRA.
Yoro’s time in the securities industry was short lived as Schwab terminated his registration on July 26, 2018, writing “Mr. Yoro may not have followed the FINRA rules of conduct in connection with his Series 7 examination.”
The Series 7 exam is known as the General Securities Representative Qualification Examination. It assesses the competency level of someone entering the securities industry.
FINRA claims Yoro cheated on his exam at a Dallas testing center by bringing a laminated commercial study guide to the exam. Yoro reportedly took three unscheduled breaks during the exam, where officials said he went to his locker and reviewed his study guide. FINRA says Yoro changed several incorrect answers into correct ones after coming back from his break. FINRA’s rules of conduct prohibit cheating on any test. A bar from the securities industry has been recommended for Yoro.
“The imposition of a bar is remedial because it protects the investing public from a person who cannot be trusted to comply with legal and regulatory requirements,” Yoro’s complaint reads. “The Securities and Exchange Commission has held that cheating on a FINRA exam cannot be tolerated because it ‘threatens the integrity of (FINRA’s) registration process’ and ‘flouts the ethical standards to which members of the industry must adhere.’”
The Spencer Law Firm’s attorneys litigate securities related proceedings such as FINRA arbitration and enforcement actions. If you have any questions regarding FINRA or if you have a FINRA arbitration or enforcement action and need assistance, please feel free to call Bonnie Spencer at the Spencer Law Firm at (888)237-459 to see what we can do for you. You can also visit us at Spencer-Law.com or at our office at 4635 Southwest Freeway, Suite 900, Houston, Texas, 77027.