According to FINRA, Kathleen A. Johansen was barred from association with any FINRA member in all capacities for refusing to appear for on-the-record testimony requested by FINRA during an investigation.

The investigation originated from a Form U5 filed by Johansen's former member firm with respect to a separate registered representative. FINRA requested Johansen's testimony as part of this investigation, but she refused to appear. By refusing to cooperate with FINRA's investigation, Johansen violated one of the fundamental obligations of registered persons to assist in regulatory inquiries.

Investors should understand that FINRA has the authority to request information and testimony from registered persons as part of investigations. The obligation to cooperate with regulatory investigations is essential to FINRA's ability to protect investors and maintain market integrity. When registered persons refuse to participate in investigations, they undermine the regulatory process and face the most severe sanctions.

A bar from the securities industry means that Johansen cannot work in any capacity for a FINRA member firm. This permanent sanction reflects the serious nature of obstructing regulatory investigations. Registered individuals who refuse to provide testimony or documents when requested by FINRA face automatic bars unless they can demonstrate compelling reasons for non-compliance. This case serves as a reminder that cooperation with regulatory authorities is not optional but a fundamental requirement for anyone working in the securities industry.