JESSE GIL, III BARRED BY FINRA ON ALLEGATIONS OF UNAUTHORIZED USE OF ELDERLY CUSTOMER’S FUNDS
The Financial Industry Regulatory Authority (“FINRA”) has permanently barred Corpus Christi, Texas stockbroker Jesse Gil, III from the securities industry based on findings that Gil made unauthorized withdrawals from the account of an 82-year-old widow, to whom he was providing financial advice away from his employing firm, Allstate Financial Services, LLC.
According to FINRA’s findings, in July and August 2016, while associated with Allstate, Gil converted approximately $2,500 of his elderly customer’s funds, using the money to pay his own personal credit cards for items like spa massages, sporting goods, and expenses incurred during an overseas trip to Madrid (including at a hotel, perfume store, museum, and flamenco show).
Also, as of July 18, 2016, Gil obtained a power of attorney over the former client. Gil failed to disclose the power of attorney or obtain Allstate’s approval before taking on the role, as Allstate’s policies required.
As early as 2014, the client began to pay Gil for advice he provided her outside of his member firms (then Merrill Lynch, later Allstate). Gil never disclosed to Merrill Lynch or Allstate that he was engaged in this outside business activity. To the contrary, Gil provided false answers on compliance certifications and denied acting as power of attorney or providing outside financial advice for compensation.
FINRA found Gil’s conduct to be in violation of FINRA Rule 2010 which requires stockbrokers to “observe high standards of commercial honor and equitable principles of trade.” Cook was also found in violation of FINRA Rule 8210 based on his failure to provide complete documents and information to FINRA with respect to its investigation
Gil neither admitted nor denied the allegations, but accepted FINRA’s bar from further association with any member firm and agreed not to take any action or make any public statement denying, directly or indirectly, FINRA’s findings against him.
According to Gil’s FINRA BrokerCheck report, he was fired by Allstate immediately following FINRA’s action. Gil also had a $68,153.31 tax lien filed against him in June 2019.
If you or someone you know lost money as a result of an investment recommended by Jesse Gil, III or Allstate Financial Services, please call the Frankowski Firm at 888.741.7503 or fill out this contact form.