FINRA arbitration panel has fined Wells Fargo $400 a day because its broker Leonard Kinsman scammed widow Robin Fratto out of her deceased husband's life insurance money.
The article states, "Kinsman forged his client's signature on a number of documents authorizing high-risk trading with the proceeds of the life insurance settlement. He is also accused of improperly selling her two illiquid annuity products with high fees that she had to cash in prematurely to get her $580,000 house out of foreclosure."
And it goes to state, "he then made speculative investments with the money, buying puts on the market calls on gold, foreign oil stocks, large short-term bets of several hundred thousand dollars on a single mutual fund and other improper short-term trading, all of which earned him substantial commissions and likely undisclosed fees despite incurring large losses for the client."
What should be done about Wells Fargo?