Disclosure Expungement

Potential investors and employers can easily find negative CRD disclosures — disclosures can cost money and even careers

Internet: Both a boon and a bane

With the advent of the internet, the financial industry has seen an unmatched boom. Every procedure is now being carried out online, making things easier than ever for both investors and their advisors. However, the same space is also being used to expose investors’ dark past in the form of criminal records or any old trouble that can ruin their reputation forever.

The modern-day clients want to know everything about the investment adviser they are getting into business with. If you haven’t expunged negative web content, past CRDs, and issues with previous clients, then it is only a matter of time that your potential customers will find out everything about you with a single Google search. Problems as minute as new customer disputes can make their way into your online record. Other deal-breakers include past U5 terminations, violations, late or illegal registration processes, etc. Irrespective of your standing as a firm in the present, clients might pass on your name because of your firm’s history. If your firm has failed to fill the U4 expungement and U5 expungement forms correctly or hasn’t updated within the set period, customers can take it as a red flag and use it as an excuse to not deal with you. To make dirt-finding easier, BrokerCheck, and IAPD are fully-operational as websites that will expose your licensing history, certifications, dealings with the authorities, and customer services. FINRA recorded a staggering 40 million visits to these websites by potential investors, accentuating the need for U4 expungement and other services.

IAPD and BrokerCheck

Prospective investors can access online information about financial advisors’ certifications and licenses, employment history, as well as investor terminations, disciplinary violations, and complaints. BrokerCheck had more than 40 million visitors last 2020, as quoted by FINRA.

Individual advisors benefit greatly from removing negative disclosures that are tarnishing their name and brand from BrokerCheck and IAPD, as these disclosures are both accessible immediately and are easy to find.

Clearing the record

In 2009, FINRA introduced a set of rules that allowed investment advisors to remove any tarnishing event and complaint from their record. A council would receive the request for U4 expungement or any other kind based on the need of the financial advisor and the decision to expunge would be made if the firm actions meet the criteria laid down by the regulatory authority.

With MAH Advising at your aid, you can stop worrying about clients finding out any intentional and unintentional wrong-doing on your part. We offer to clean BrokerCheck, IAPD, and most of the other internet for your firm. All your past failings will be gone like they never happen, allowing you to do better in the present and the future. Your current reputation will be displayed to your potential clientele, letting bygones be bygones.

MAH Advising offers the following expungement services to financial advisors

Customer dispute expungement

BrokerCheck displays customer dispute disclosures filed by FINRA, which may include investor disputes filed with the Interactive Investor Protection Database. Our team has had considerable experience in obtaining FINRA disclosure expungement orders to remove these completely false investor complaints from the Central Registry of Dishonesty (U4 Expungement and U5 Expungement) and  BrokerCheck.

Conflict of interest can start an indecisive battle between your firm and old/new customers. Most of the time, the customer would seek to settle for a desired sum of money and your firm too will be more than willing to pay them for it to protect their reputation. However, if the dispute happens to be an unresolvable one, making its way into your records displayed on IAPD and BrokerCheck, then you would most certainly require the aid of our experts who are adept at the FINRA Arbitration law implementation. Based on the 2080 FINRA rule, an investor can request to expunge a customer dispute disclosure or a FINRA disclosure expungement. You can expect a U4 expungement from BrokerCheck and IAPD following the direct order from FINRA obtained through the efforts of our consultants.

Other records that can be eliminated from the CRD, Broker Check and the IAPD besides the U4 expungement include Breach of fiduciary, inability to supervise, investor complaints, misrepresentation disclosures, suitability, and negligence.

  • U5 termination expungement

The transition is not always the best solution.

Investment advisors sometimes feel their only choice is to transfer to a new firm in order to fulfill the investment needs of their clients due to constant B/D acquisitions, regulatory roadblocks, and changing products. ​

Financial advisors and investors can absolutely benefit from U5 termination disclosures (Employment Separation After Allegation), but it has become increasingly difficult for both parties to switch brokerage firms with even one of these disclosures. Due to the ESAA disclosure, financial advisors transitioning from one firm to another generally receive significantly less compensation.

BrokerCheck and IAPD records cannot be cleared unilaterally by either your former employer who filed the termination disclosure or current employer. To remove a U5 termination entirely, an arbitration panel of FINRA must grant full approval.

Professional growth is an aim that every financial advisor has. When the present firm fails to progress your career or times have fled ahead from the services they are offering, financial advisors may want to move on to a firm that has something better and different to offer. However, a U5 expungement termination can barricade your transition.

To get rid of the slander of a U5 termination, MAH Advising will walk you through the process of FINRA arbitration or FINRA expungement attorney to help clear your name. This hurdle is worsened by the fact that moving to a new firm is already a hard task given the ESAA disclosure.

It must be understood that your employer lacks the authority to expunge you from a U5 termination; only FINRA can veto that, making MAH Advising’s team of experts your safest bet.

  • Tax lien expungement

Tax debts are not always professional. You might be knee-deep in loans because of an ailment or a family problem. But, most investors are not empathetic enough and will not be forgiving towards your situation.

A federal tax lien disclosure is one of the most harmful disclosures for a financial professional. Tax debts are unforgiving even if they are related to circumstances beyond the financial advisor’s control, meaning that investors tend to be stern with investors who accrue massive tax debt.

In order to create your own narrative, making IRS liens expunged is a vital step. MAH Advising can help you resolve debt you have already incurred, or assist you in setting up a repayment plan. The liens that appear on your public record can be erased by employing our proven strategies to resolve back taxes.

Also, at MAH Advising, we understand that tax liens are not under the locus of your control; they still need to be expunged. Our experts will make sure that all personal and professional tax liens of the past are gone from your online records like they never existed.

  • Negative web content eradication

Bad reviews and negative online publicity are as easy as putting up a Facebook post, but they can have a snowball effect. It doesn’t take long for an emotional post by a customer about how badly they were treated to go viral, without verification. Similarly, negative reviews on websites can damage your online standing. 

You can find links to sites that deal with allegations against all financial advisers by searching their names on the internet. In order to encourage more frivolous investor claims, attorneys often republish negative information from BrokerCheck. Current and prospective clients are alarmed by incendiary statements that we eliminate using proven methods.

MAH Advising thoroughly fishes out this negative web content and removes it before they damage your present reputation.

  • Criminal expungement

MAH Advising assists in the FINRA disclosure expungement and also in criminal disclosures that may show up on BrokerCheck or the IAPD by providing the best possible representation in state court. Each state has its own rules, and not every one allows the expungement of old offenses. If it is available, you may be able to seal or have records of past criminal offenses and subsequently have them erased from your criminal record database.

BrokerCheck and IAPD might display criminal records for even the most nominal misdeeds and of those crimes committed by your family member; having your name in the police records is not a badge you want to wear. MAH Advising will help put your case to make sure that the state court approves of expunging all criminal charges against you or your firm from the CRD.

  • Past expungement awards

Many advisors who were expunged by another broker/dealer did not see their records removed at the regulatory level despite receiving an award under FINRA Rule 2080 via their previous firm. No matter where you are along the FINRA disclosure expungement process, we can get you to your goal. 

In addition to this, many times, financial advisors who might have obtained an expungement fail to update their records or do not highlight the proceedings of the case. MAH Advising will make sure that none of it goes unnoticed and that your records are updated perfectly.

With MAH Advising, you can regain your ranking!

Contact MAH Advising to learn about U4 expungement, U5 expungement, FINRA disclosure expungement, U4 expungement attorney and other services.

Disclaimer: We are consultants, not lawyers, this is not legal advice. We work with the top law firms when the practice of law is required.