FINRA

Sutherland was named a respondent in a FINRA complaint alleging that while he was statutorily disqualified as a result of felony convictions and his FINRA registrations were terminated, he actively engaged in the management of a member firm, continued to associate with it, and engaged in activities on behalf of it that required securities registration. The complaint alleges that among other things, Sutherland communicated with firm associated persons regarding securities-related matters, including sending and receiving email from his firm email address as well as another email address; supervised and directed firm associated persons regarding its securities business, including commissions, outside business activities, and advertising; participated in the firm's financial reporting, including the preparation of Financial and Operational Combined Uniform Single (FOCUS) reports, responding to firm auditors, and directing the Financial and Operations Principal; engaged in clerical and managerial functions on behalf of the firm, including arranging for branch office examinations, communicating with firm vendors and recruiting registered representatives; and participated in personnel decisions on behalf of the firm, including negotiating terms of employment with the firm's co-chief compliance officer and directing the firm's President and chief executive officer regarding compensation of firm staff. The complaint also alleges that during FINRA's investigation into Sutherland's activities, he provided false and misleading testimony to FINRA. Sutherland falsely denied sending and receiving numerous emails from his firm email address and another email address and falsely testified that he did not access his email from his cellular telephone.

Decision & Order of Offer of Settlement

Bar (Permanent)

All capacities

indefinite

8/26/2019

Without admitting or denying the allegations, Sutherland consented to the sanction and to the entry of findings that while he was statutorily disqualified, as a result of felony convictions, he continued to associate with a member firm and while his FINRA registrations were terminated he engaged in activities on behalf of the firm that required securities registration. The findings stated that Sutherland actively engaged in the management of the firm. Specifically, Sutherland, among other things communicated with firm associated persons regarding securities-related matters, including sending and receiving email from his firm email address as well as another email address. Sutherland supervised and directed firm associated persons regarding the firm's securities business, including commissions, outside business activities, and advertising and participated in the firm's financial reporting, including the preparation of FOCUS reports, responding to firm auditors, and directing the FINOP. Sutherland engaged in clerical and managerial functions on behalf of the firm, including arranging for branch office examinations, communicating with firm vendors and recruiting registered representatives, and he participated in personnel decisions on behalf of the firm, including negotiating terms of employment with the firm's co-chief compliance officer (co-CCO) and directing its chief executive officer (CEO) regarding compensation of staff.

Previously filed - accused of owning an offshore company and not reporting the income for tax purposes. Mr. Sutherland has denied the allegations

Pled not guilty

Mr. Sutherland was accused of owning an offshore company and not reporting the income for tax purposes. Mr. Sutherland has denied the allegations. Peremptory date is revised for October 24, 2016.