Heads up if you've ever fudged on your expense report or any of the reimbursement programs. About a hundred people were pulled this week from investigations over wrongful reimbursements. It's definitely a wrong thing to do but those who were licensed were barred indefinitely from FINRA. Some say it's a way to trim the fat without having to pay severance.
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Is anyone taking any action against this mass firing? Anyone filing lawsuit?
Please see this link if this thread is of interest.
https://www.thelayoff.com/t/SUABhNe
It is still ongoing. I don't work at Fidelity but I'm in the investment industry and heard of someone who just go let go this week due to the computer reimbursement fraud. I see a lot of people claiming it is "theft". I disagree. Its a benefit the company offers as part of your total compensation. Someone can buy a computer, collect the reimbursement, and then throw the computer in a dumpster while its still in the box. Its theirs to do whatever they want with it. Its like saying if you don't use all 6 of your allocated "sick days", the company stole from you. Is that considered theft? Of course not.
It varies on who was fired or not. I was fired for the reimbursement program yet a colleague who admitted guilt before they got to him was sparred his job. For the most part, if you submitted something and returned it, regardless of what you said in the interrogation, you were terminated.
Those with active registration or even inactive have by now received FINRA 8210 letters. Those who are still in the industry will probably want to lawyer up, in the end, you’ll be barred most likely, but worth a shot to fight. Expensive? Yes. Multiple FINRA lawyers are fully aware of the situation.
I wonder if the reimbursement form mentioned anything about return policy. Because if it didn’t, then I don’t think they would fire someone for returning an item but being truthful when asked about it. I imagine the people terminated were lying about returning it, and the lying was what they were terminated for. Could be completely wrong, but maybe that’s where the difference is.
Yup, "Favoritism" to those who are honest in the investigation.
So, it sounds like they are playing favorites????
I definitely now know one case where a guy submitted for comp reimbursement, returned something, and didn't buy anything else and after the investigation got a warning and the reimbursement withheld from his paycheck, but NOT termination. The guy is still there after being investigated for a week. It seems they are applying this arbitrarily. I'm sure there are other people who were let off the hook, but they are trying to keep this super quiet... Anyone else please share your experiences?
I know a guy who got nabbed doing this. Definitely a scumbag who cheated and lied his way to VP. Not suprised he did something like this at all. Won't be affected by FINRA as he was too dumb to pass the 99. Got what he deserved in the end.
Can anybody confirm that 20 people were fired over the computer reimbursement fraud situation in Jax?
I think the intent that Fidelity not give someone the value of a product, only to have them return it, is pretty clear.
If there was information that said "call HR if you need to do a return" then it would have been plain and simple. From a legal standpoint, it does not seem that it was clear. I could also see Fidelity getting sued over this. Especially when they are effing rep's licenses. Why not just make the reps re-pay the 20% or expense report error?
Can always ask HR, when in doubt. This is theft, plain and simple.
there was no information on how to handle a return in the computer reimbursement information/site. what if the pc you buy is junk and needs to be returned? these people should arbitrate or sue
How are they verifying that merchandise was returned? Are they allowed to call the realtor and check that kind of stuff?
A portfolio specialist in Merrimack was fired for computer reimbursement fraud. They bought a computer, got 20% from Fidelity, and than returned the computer last September before the program ended. There was a G2 fired in Merrimack as well for the same thing. There were also 20 people fired in Jacksonville because they all used the same receipt for the computer reimbursement fraud. There is an internal corporate investigation still being conducted by Fidelity. One would have to assume they will start looking into workout equipment next.
Anyone know the scope of what they are looking at and how far back?
It takes 6 months to a year for FINRA to run an investigation and bar a broker. If this just happened, nothing from FINRA on CRD will show for a while.
Yep, barred- and yes it's disclosed on the CRD as "Fraud"
Um they wouldn't have been barred from FINRA, but the reason for their departure 'likely' will be disclosed on CRD.
Are they done or is this ongoing?
Did anyone get reviewed and not fired?