Finra has suspended a former Wells Fargo financial advisor who’s been in the industry for close to four decades for allegedly using his personal email to communicate with his clients, the industry’s self-regulator says.
From April 2008 to October 2016, Raleigh Kraft allegedly used a personal email address to discuss business-related matters with his clients, preventing Wells Fargo from running his communications through its review and compliance processes and retaining them for its books and records, Finra says in a letter of acceptance, waiver and consent.
Kraft also allegedly singed off on an annual document attesting that he was aware of and followed Wells Fargo’s policies regarding email communications, according to the regulator.
Finra imposed a two-month suspension on Kraft and ordered him to pay a $5,000 fine, according to the letter of acceptance.
He accepted the sanctions without admitting or denying Finra’s findings, the regulator says.
Kraft first joined the financial services industry in 1982 and came to Wells Fargo in 2008, according to his BrokerCheck profile.
The company discharged him in October 2016 over allegations of “multiple policy violations, including communicating with clients via a personal email account, conducting business via a personal computer, and sending correspondence to clients without Compliance or supervisory approval,” Wells Fargo says in his termination notice on BrokerCheck.
Kraft joined H.Beck in December of that year and remains registered with the firm, according to Finra.
The state of Nevada suspended Kraft over the matter in June 2018, preventing him from working in a supervisory capacity for at least two years, according to this record.
Aside from the regulatory disclosures and his discharge from Wells Fargo, Kraft has just one other mark on his BrokerCheck record: a client dispute over suitability of investments that claimed $24,577 in damages in 2012 but has since been denied.