Posted in: FINRA |
When FINRA barred Kevin O’Brien from the securities industry last September, the former Cincinnati broker naturally went looking for a new line of work.
One month later, he was elected as a trustee of Anderson County, Ohio. This a position made O’Brien, along with two other trustees, responsible for managing the town’s $35 million budget.
In a strange turn of events, O’Brien’s first meeting in office resembled a protest rally, as eight township residents spent the duration criticizing the ex-broker over his business dealings. Anderson County residents, who voted him into office November 3, were then unaware of his disciplinary history.
In 2008, a former client alleged O’Brien made unauthorized account withdrawals. O’Brien’s employer, Robert W. Baird & Co., terminated the broker upon learning of the complaint and later settled with the client for $336,000.
A Web site, The Whistleblower Newswire, was the first to report on O’Brien’s background. The Cincinnati Enquirer reported on O’Brien’s closed door swearing-in ceremony - this raised flags, since trustee swearing-in ceremonies are typically done in public - that alerted residents.
This story illustrates how easy it is even for a financial professional to deceive, and voters-even with a huge blotch on his or her record. Whether O’Brien intends on turning over a new leaf following his FINRA ban, he knowingly, and successfully hid his relevant past from voters when it mattered.
One of O’Brien’s campaign slogans, according to Investment News, was “integrity counts.”
Ironically, it was his experience in the financial advice arena that likely convinced voters he was fit to oversee payments police and fire departments, roads and other public projects. After being terminated by Robert W. Baird & Co., O’Brien operated his un-sanctioned financial consulting business, O’Brien Private Wealth Management.
In the future, voters should be just as careful as investors when choosing a financial professional. This is especially true if the political arena continues to be a safer haven for dismissed FINRA members.
