FINRA

Without admitting or denying the findings, Pendl consented to the sanctions and to the entry of findings that he made written misrepresentations to customers of his member firm employer in the form of an e-mail from his personal account, and attached with the e-mail a fabricated spreadsheet that misstated the value and status of the accounts that the customers opened at the firm. The spreadsheet was created when the customers requested account balance information, and after Pendl realized that he did not process certain new account forms and asset transfer documents, which resulted in some of the customers' accounts never being opened at the firm. The findings stated that Pendl used a personal e-mail not approved by the firm for business use to communicate with the customers about their accounts. At all times relevant, the firm's written policies and procedures prohibited registered representatives from discussing business-related matters with clients through their personal e-mail account, and required such communications to be sent through firm e-mail. Pendl's use of his personal e-mail account to communicate with the customers prevented the firm from effectively supervising his communications with the public, and from complying with its obligations to preserve such communications. Likewise, Pendl's e-mail to the customers and the attached document containing fictitious account values were not reviewed or approved by the firm. The findings also stated Pendl made false statements to FINRA in response to a written request for documents and information related to subsequent inquiries regarding the customers' accounts. Pendl falsely represented that all of the customers' accounts had been opened, even though he knew some of the accounts were never opened due to the errors committed by him, and the assets to fund those accounts were never transferred to the firm.

Acceptance, Waiver & Consent(AWC)

Bar (Permanent)

All Capacities

Indefinite

9/9/2016