According to FINRA, Michael John Brewster was fined $5,000 and suspended from association with any FINRA member firm in all capacities for one month for instructing his sales assistant to complete firm-required compliance training on his behalf.

Brewster instructed his sales assistant to use his firm login credentials to complete 15 firm-required online compliance training modules, totaling over five hours of training.

Compliance training requirements exist to ensure that registered representatives maintain current knowledge of regulatory requirements, firm policies, and industry best practices. When representatives have others complete their training, it undermines the purpose of these requirements and may leave representatives unprepared to serve their clients in compliance with applicable rules.

This type of misconduct, while it may seem minor, reflects a willingness to circumvent compliance requirements and to be dishonest about professional obligations. Firms rely on training programs to ensure their representatives understand their responsibilities to clients.

The suspension was in effect from January 6, 2025, through February 5, 2025.

Investors should know that their financial advisors are required to complete ongoing compliance training. When advisors cut corners on these requirements, it may indicate a broader disregard for the rules designed to protect investors.