← Broker database 2026-03-18
Joshua Ethan Scholnick Barred for Cheating on Securities Industry Essentials Examination
According to FINRA, Joshua Ethan Scholnick (CRD #7720831) of Cherry Hill, New Jersey, was barred from association with any FINRA member in all capacities after being found to have cheated on the Securities Industry Essentials (SIE) examination.
An Order Accepting Offer of Settlement was issued on March 18, 2026. FINRA found that during the SIE examination — which Scholnick took from his home — he used his phone to access prohibited study materials to help answer the test's questions. This conduct occurred after Scholnick acknowledged and agreed to follow FINRA's SIE Rules of Conduct, which explicitly prohibit examinees from possessing or using phones, notes, or study materials during the examination.
The SIE examination is the foundational qualification examination for individuals seeking to enter the securities industry. It tests knowledge of basic securities industry terminology, regulation, customer account registration requirements, prohibited practices, and related topics that are essential for any person working in the industry. The integrity of this examination — and of all FINRA qualification examinations — is critical to ensuring that only individuals with genuine knowledge of securities regulations and investor protection principles are permitted to work with investors.
Cheating on a securities licensing examination is treated as a fundamental integrity violation. The securities industry depends on investors' ability to trust that the professionals advising them or handling their money have the qualifications they represent themselves to have. An individual who cheats to obtain a license has misrepresented the basis for their qualifications — a deception that goes to the heart of investor protection.
FINRA's decision to bar Scholnick permanently reflects the principle that integrity is a threshold requirement for participation in the securities industry, not merely one factor to be weighed against others. Individuals who seek to deceive their way into the industry have disqualified themselves from it entirely.
Investors should verify that any financial professional they work with holds the appropriate FINRA registrations, which can be checked through FINRA BrokerCheck.