NASD

NASD CONDUCT RULES 2110 AND 2510(B) - JAMES BRIDGES SERVICED THE ACCOUNT OF A RELATIVE, WHO GAVE HIM DISCRETION TO EFFECT A TRANSACTION IN THE ACCOUNT. AT LEAST 71 TRANSACTIONS WERE EFFECTED IN THE ACCOUNT WITHOUT FIRST CONSULTING WITH THE CUSTOMER, WHO RELIED ON RESPONDENT BRIDGES TO MAKE INVESTMENT DECISIONS FOR THE ACCOUNT. RESPONDENT BRIDGES DID NOT OBTAIN WRITTEN AUTHORIZATION TO EXERCISE DISCRETION IN THE CUSTOMER'S ACCOUNT, AND DID NOT OBTAIN WRITTEN AUTHORIZATION FROM HIS MEMBER FIRM TO ENGAGE IN SUCH DISCRETIONARY TRADING IN THE ACCOUNT.

Acceptance, Waiver & Consent(AWC)

Civil and Administrative Penalty(ies)/Fine(s)

Suspension

WITHOUT ADMITTING OR DENYING THE ALLEGATIONS, RESPONDENT CONSENTED TO THE DESCRIBED SANCTIONS AND TO THE ENTRY OF FINDINGS; THEREFORE HE IS FINED $7,500 AND SUSPENDED FROM ASSOCIATION WITH ANY NASD MEMBER IN ANY CAPACITY FOR FIVE BUSINESS DAYS. THE SUSPENSION WILL BEGIN DECEMBER 12, 2005 AND CONCLUDE AT THE CLOSE OF BUSINESS DECEMBER 16, 2005. FINES PAID.

AWC STATES THAT MR. BRIDGES NEITHER ADMITTED NOR DENIED THE ALLEGATIONS AND FINDINGS THEREIN.

CLAIMANT ALLEGES CHURNING, BREACH OF FIDUCIARY, NEGLIGENCE, AND UNSUITABILITY. (DECEMBER 1999 THROUGH MAY 2003)

$215,000.00

$100,000.00