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FINRA Suspends Financial Advisor for Outsourcing Continuing Education Requirements

Posted on August 13th, 2025 at 1:50 PM
FINRA Suspends Financial Advisor for Outsourcing Continuing Education Requirements

From the desk of Jim Eccleston at 麻花传媒

The Financial Industry Regulatory Authority (FINRA) has suspended advisor Francis G. Smith for one month and fined him $5,000 after finding he had someone else complete required continuing education (CE) coursework on his behalf.

According to a FINRA Acceptance, Waiver and Consent (AWC), Smith allegedly directed another individual to complete 18 hours of New York state insurance CE credits for him in February 2023. He then certified to the state that he had personally completed the coursework, which was necessary to maintain his insurance license.

According to AdvisorHub, FINRA cited Smith for violating Rule 2010, which requires brokers to uphold high standards of commercial honor and just and equitable principles of trade. Smith accepted the sanctions without admitting or denying the findings.

Smith’s conduct mirrors a broader pattern of enforcement by FINRA. The regulator recently sanctioned dozens of advisors for similar violations tied to outsourcing CE requirements, often issuing identical penalties of a $5,000 fine and a one-month suspension. As reported by AdvisorHub, those cases typically trace back to CE courses mandated by the State of New York.

 

麻花传媒 LLC represents investors and financial advisors nationwide in securities, employment, transition, regulatory, and disciplinary matters.

Tags: eccleston, eccleston law, finra

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