Reply #60: NYSE Bars Trader for 10 Years [View All]

[citizen snips]

NEW YORK (AP) -- The New York Stock Exchange's regulatory arm on Wednesday suspended a stock trader for 10 years for trading malfeasance in the heady days just before the end of the last bubble.

Luis Miguel Cespedes, who worked for A.G. Edwards & Sons Inc., was found to have put more than a dozen clients' money into volatile technology securities and then piled on margin debt. When the bubble burst, the investors -- many of them elderly, inexperienced investors -- were "wiped out."

"There's an overall pattern to these accounts," the NYSE panel's enforcement expert, Christopher Frank said. "So it's highly unlikely that 15 customers came in and said, 'You know what, damn the torpedoes, I want to be in aggressive equity.' That stretches the imagination a bit."

NYSE officials couldn't immediately recall the last time a 10-year ban was issued. Permanent bans are handed out but typically only when traders are found to have committed multiple offenses.

more...
http://biz.yahoo.com/ap/080213/nyse_trader_suspended.html?.v=1