The US Securities and Exchange Commission is investigating Westlake Village, California stockbroker Thomas Swan (CRD# 1698430) over alleged violations of...Read More
John Mullaly: FINRA Suspends Ex-William Blair Broker
Former Boston-based broker John Mullally (CRD# 2679121) has been sanctioned by the Financial Industry Regulatory Authority in connection to allegations he improperly held undisclosed power of attorney over an account at an outside firm. Previously associated with Wells Fargo Securities in New York City and William Blair in Boston, Massachusetts, Mullaly was issued a 3-month suspension and a fine of $10,000.
According to a Letter of Acceptance, Waiver and Consent (No. 2018060554601) dated November 2019, John Mullaly was registered as a General Securities Representative and associated with William Blair in Boston, Massachusetts when, between September 2015 and May 2018, he accepted a power of attorney over the brokerage account of a relative held at an outside FINRA firm. However, FINRA states, he documented on a power of attorney document submitted to the outside firm that he was not “affiliated with or employed by” a FINRA member firm, though he was associated with William Blair at the time. FINRA states further that even though the power of attorney afforded him “trading authority over the account, as well as the ability to make withdrawals, he did not disclose the account to William Blair at any time.” FINRA states that he instead made attestations on signed compliance questionnaires with his member firm that he “did not have any undisclosed outside securities accounts.” FINRA goes on to state that between October 2015 and January 2018, he executed a number of transactions in the account “that were prohibited by the Firm because they involved securities on the Firm’s restricted list.” He also allegedly executed transactions in that account “that required pre-approval by the Firm because they involved securities that were on the Firm’s research list.” FINRA found that these activities violated NASD Rule 3050(c) as well as FINRA Rules 3210(a), 3210(b), and 2010. As a result of the foregoing alleged conduct, he was suspended from associating with any FINRA member firm in any and all capacities for three months. He was also ordered to pay a fine of $10,000.
John Mullaly is currently not registered with any FINRA member firm. His previous registrations include Wells Fargo Securities, William Blair, Stifel Nicolaus & Company, Thomas Weisel Partners, Jefferies & Company, Cowen & Company, Robertson Stephens, and HC Wainwright & Company. He has passed three securities industry qualifying examinations and his BrokerCheck report currently lists no state securities licenses. (Information current as of May 6, 2020.)