CUSTOMER ALLEGES, INTER ALIA, THAT DURING 1999 AND 2000 MR. EARLE FAILED TO RECOMMEND THAT SHE MORE BROADLY DIVERSIFY HER PORTFOLIO. DAMAGES NOT STATED.

$600,000.00

MR. EARLE STRONGLY DENIES ANY WRONGDOING. MORGAN STANLEY SETTLED THE MATTER, WITHOUT ANY ADMISSION OF LIABILITY, TO AVOID THE COST AND UNCERTAINTY OF FURTHER LITIGATION.

CUSTOMER ALLEGED THAT BEGINNING IN EARLY IN EARLY 1998, I RECOMMEND UNSUITABLE INVESTMENTS AND THE USE OF MARGIN.

$292,406.00

$9,999.00

MR. EARLE STRONGLY DENIES ANY WRONGDOING. MORGAN STANLEY SETTLED THE MATTER, WITHOUT ANY ADMISSION OF LIABILITY, PURELY TO AVOID THE COST OF FURTHER LITIGATION.

CUSTOMERS ALLEGE, INTER ALIA, THAT MR. EARLE FAILED TO DIVERSIFY THEIR PORTFOLIO FROM JANUARY 2000 THROUGH OCTOBER 2001.

$1,981,495.00

$200,000.00

MR. EARLE STRONGLY DENIES ANY WRONGDOING. MORGAN STANLEY SETTLED THE MATTER, WITHOUT ANY ADMISSION OF LIABILITY, TO AVOID THE COST AND UNCERTAINTY OF FURTHER LITIGATION.

CUSTOMERS ALLEGE, INTER ALIA, THAT MR. EARLE FAILED TO DIVERSIFY THEIR PORTFOLIO FROM MARCH 2000 THROUGH OCTOBER 2001.

$10,734,955.00

$50,793.75

CIVIL LITIGATION IS STAYED. MR. EARLE STONGLY DENIES ANY WRONGDOING.

CUSTOMER ALLEGES, INTER ALIA, THAT MR. EARLE FAILED IN 2000 TO RECOMMEND THAT THE CUSTOMER SELL LARGE HOLDINGS OF JDSU.

$1,494,000.00

$400,000.00

MR. EARLE STRONGLY DENIES ANY WRONGDOING. MORGAN STANLEY SETTLED THE MATTER, WITHOUT ANY ADMISSION OF LIABILITY, TO AVOID THE COST AND UNCERTAINTY OF FURTHER LITIGATION.

MERRILL LYNCH, PIERCE, FENNER & SMITH INC.

Permitted to Resign

N/A IT WAS LEARNED THAT I HAD MISAPPROPRIATED ANOTHER FINANCIAL CONSULTANT'S COMMISSION PRODUCTION RECORD, I FALSIFIED MY NAME ON THE RECORD AND SUBMITTED IT AS MY OWN TO MY NEW EMPLOYER. I ALLEGEDLY FALSIFIED THE COMMISSION PRODUCTION RECORD IN ORDER TO OBTAIN A BONUS FROM MY NEW EMPLOYER.

I WAS ASKED TO RESIGN FROM THE FIRM. WAS ASKED TO MOVE FROM MERRILL LYNCH TO PRUDENTIAL-BACHE SECURITIES. WHEN THE TIME CAME TO SIGN CONTRACT. I COULD NOT DO IT, BECAUSE CONTRACT WAS BASED ON A PERSON WHO'S PRODUCTION WAS $230,000 AND MINE WAS $129,000. SINCE I HAD LEAD THEM TO BELIEVE I WAS THAT KIND OF A PRODUCER AND CONFESSED THAT I WAS NOT. IT WAS DECIDED THAT I RESIGN FROM THE FIRM.