According to FINRA, Jacob David Frankel was suspended from association with any FINRA member in all capacities for four months for willfully failing to timely disclose multiple felony charges on his Form U4. Frankel was charged with multiple third-degree counts of Possession of a Controlled Dangerous Substance in New Jersey, each punishable by at least one year imprisonment. He did not disclose the charges to his firm or via amended Form U4 until approximately one year late, and falsely certified he had never been charged with a felony.

Additionally, Frankel improperly removed and retained non-public personal customer information from firms without authorization or customer consent. The documents contained social security numbers, driver's license and passport numbers, and account numbers for over 200 customers. He retained these documents until they were secured by his new firm after a manager discovered and confiscated them.

Form U4 disclosures about criminal charges are critical for firms to assess whether representatives should continue working with customers and whether enhanced supervision is needed. Felony drug charges raise serious questions about judgment and character. The one-year delay in disclosure and false certification demonstrate deliberate attempts to conceal material information.

The theft of customer information is equally serious. This sensitive data could be used for identity theft or other fraudulent purposes. Taking it without authorization when changing firms is a significant breach of trust and privacy. In light of Frankel's financial status, no monetary sanctions were imposed, but the four-month suspension removes him from the industry temporarily while sending a clear message about the seriousness of these violations.