David Patrick Beston Review Summary
If you are in the market for a good financial advisor or firm, then avoid David Patrick Beston at all costs. Previous clients have reported and complained about serious financial damages and/or fraud. David Patrick Beston is also under FINRA’s radar. Previously FINRA has uncovered well-reputed firms and advisors to be guilty of shocking crimes, which include but are not limited to:
- Siphoning Of Client’s Funds
- Dereliction of Duty
Nefarious Background Of David Patrick Beston (CRD)
Beston entered the securities industry in 2007. In October 2012, Beston became
registered as a General Securities Principal, General Securities Representative, Municipal
Securities Principal, and General Securities Sales Supervisor through an association with
FINRA member firm J.P. Morgan Securities LLC. On November 30, 2012, J.P. Morgan
filed a Uniform Termination Notice for Securities Industry Registration (Form U5),
stating that Beston’s registration had terminated voluntarily on November 29, 2012.
In December 2012, Beston became registered as a General Securities Principal, General
Securities Representative, Municipal Securities Principal, and General Securities Sales
Supervisor through an association with Fidelity Brokerage Services LLC. On July 8,
2020, Fidelity filed a Form U5, stating that Beston’s registration had been terminated
voluntarily on July 1, 2020.
Although Beston is no longer registered or associated with a FINRA member, he remains
subject to FINRA’s jurisdiction pursuant to Article V, Section 4 of FINRA’s By-Laws.
Beston does not have any relevant disciplinary history.
Criminal Activity(s) Reported – David Patrick Beston
Regulation S-P generally prohibits financial institutions from disclosing nonpublic
personal information about a customer unless the customer receives proper notice and
opportunity to opt out. NPI encompasses, among other things, customer account numbers
and account balances.
FINRA Rule 2010 provides that “a member, in the conduct of its business, shall observe
high standards of commercial honor and just and equitable principles of trade.” A
registered individual who discloses nonpublic personal information about a customer, and
causes his or her FINRA member firm to violate Regulation S-P, violates FINRA Rule
During 2012, Beston printed nonpublic personal information of approximately 500 firm
customers from a firm computer database and retained a hard copy at his home, without
authorization. The hard copy identified the customers by name and included their account
values. In addition, the hard copy contained several customers’ account numbers. Some
of the customers were serviced by Beston, and the great majority of the customers were
serviced by registered representatives that Beston supervised. Beston printed and retained
the information in anticipation of departing the firm and serving as a registered
representative elsewhere, due to a restructuring that jeopardized Beston’s employment
with J.P. Morgan.
In November 2012, Beston resigned from J.P. Morgan and continued to retain the
nonpublic personal information without authorization. In December 2012, Beston
accepted a position at Fidelity.
In February 2013, Beston met with a registered representative from another FINRA
member firm who had tried to recruit Beston before he joined Fidelity. Beston sold half
of the nonpublic personal information regarding approximately 250 of the J.P. Morgan
customers to this registered representative in exchange for $7,500. Beston received the
$7,500 payment in March 2013 shortly after delivering the information to the
representative. Before delivering the information, Beston redacted the customer account
numbers. However, the customers’ names and account values were not redacted.
By improperly removing and retaining the customer nonpublic personal information
identified above, Beston caused J.P. Morgan to violate Regulation S-P, and in so doing,
Beston violated FINRA Rule 2010. Beston’s sale of the information constituted an
additional violation of Rule 2010.
Penalty For The Terrible Crimes
a five-month suspension from associating with any FINRA member in any
a $5,000 fine; and
$7,500 disgorgement plus interest as described below
Respondent understands that if he is barred or suspended from associating with any
FINRA member, he becomes subject to a statutory disqualification as that term is defined
in Article III, Section 4 of FINRA’s By-Laws, incorporating Section 3(a)(39) of the
Securities Exchange Act of 1934. Accordingly, he may not be associated with any
FINRA member in any capacity, including clerical or ministerial functions, during the
period of the bar or suspension. See FINRA Rules 8310 and 8311.
The fine shall be due and payable either immediately upon reassociation with a member
firm or prior to any application or request for relief from any statutory disqualification
resulting from this or any other event or proceeding, whichever is earlier.
Disgorgement of financial benefit received is ordered to be paid to FINRA in the amount
of $7,500, plus interest at the rate set forth in Section 6621(a)(2) of the Internal Revenue
Code, 26 U.S.C. § 6621(a)(2), from March 7, 2013 until the date this AWC is accepted
by the National Adjudicatory Council (NAC). Disgorgement shall be due and payable
either immediately upon reassociation with a member firm or prior to any application or
request for relief from any statutory disqualification resulting from this or any other event
or proceeding, whichever is earlier.
Respondent specifically and voluntarily waives any right to claim an inability to pay, now
or at any time after the execution of this AWC, the monetary sanctions imposed in this
The sanctions imposed in this AWC shall be effective on a date set by FINRA.
Recent Illegal Activity(s)Of The Individual/Firm
During 2012, in anticipation of his departure from J.P. Morgan, Beston removed from the
firm, without authorization, nonpublic personal information of approximately 500 firm
customers. In February 2013, after resigning from J.P. Morgan and associating with
Fidelity, Beston sold a sub-set of the information, concerning approximately 250 of the
customers, to another registered representative who was associated with a different
member firm for $7,500. By improperly removing and retaining customer nonpublic
personal information, Beston caused J.P. Morgan to violate SEC Regulation S-P, and in
so doing, Beston violated FINRA Rule 2010. Beston’s sale of the information constituted
an additional violation of Rule 2010.
How To Spot A Fraud Finance Advisor (Infographic)
Help For Victims Of David Patrick Beston
If you have lost funds because of misrepresentation, unsuitable investment, or unsuitable investment strategy from David Patrick Beston. Then you can take legal action and get justice. Fraud, Malpractice & dereliction of duty should not be taken lightly, especially in this industry. We highly suggest that you notify authorities or seek legal action if your financial advisor or brokerage firm fails to abide by FINRA’s rules are regulations.
Financial advisors are regulatory & legally obligated to suggest (recommend) the most suitable investments/investment strategies to their clients. Their suggestions should have their client’s best interests and should be appropriate for their client’s goals and needs. Similarly, the brokerage firm which hires financial advisors also has a regulatory & legal obligation to keep a close watch and supervise their Financial Advisors’ practices & behavior. They need to make sure that the financial advisor is not being manipulative or having an unreasonable bias towards certain investments. If the financial advisor and/or the brokerage firm breaches these duties, then the client/customer may be entitled to a full or partial recovery of their losses.
Financial advisors need to have the interest of their clients when giving suggestions related to investments and investment strategies. Reasonable basis suitability requires the advisor to do their best to analyze & identify the risks and rewards associated with their suggested investment and/or investment strategy.This review (David Patrick Beston) was originally published at Gripeo. To read the full review, go to – www.gripeo.com/david-patrick-beston/