Certified Financial Planner Board of Standards, Inc. (CFP Board) announced that it has imposed an interim suspension of the CFP Board certification against Timothy W. Leveroni, which is effective as of March 15, 2024.

On February 13, 2024, CFP Board Enforcement Counsel filed a Petition for Interim Suspension (Petition) pursuant to Article 2.1.a.1. of the Procedural Rules, requesting that a Hearing Panel of the Disciplinary and Ethics Commission (DEC) issue an Interim Suspension Order against Mr. Leveroni based on regulatory action taken against him. On February 2, 2024, the Financial Industry Regulatory Authority, Inc. (FINRA) accepted a Letter of Acceptance, Waiver, and Consent (AWC) from Mr. Leveroni in which he consented to findings that he had violated FINRA Rules 4511 and 2010. Mr. Leveroni also accepted and consented to a two-month suspension from associating with any FINRA member in all capacities and a $7,500 fine. The investigation by FINRA into Mr. Leveroni’s conduct originated from its review of a Form U5 filing by his firm for another registered representative. FINRA discovered that, from May 2020 through March 2021, Mr. Leveroni permitted his firm’s registered representatives to electronically sign his name on more than 100 documents. The registered representatives electronically signed Mr. Leveroni’s name on documents for customer accounts where he was the representative of record, using a shared email address that he and the other representatives could access. The documents included required records of the firm, including new account applications and account update forms. After considering the conduct underlying the AWC, a Hearing Panel of the Commission determined that CFP Board Enforcement Counsel had demonstrated, by a preponderance of the evidence, that (a) Mr. Leveroni’s conduct reflected adversely on his integrity or fitness as a CFP® professional, on the CFP Board certification marks or on the profession; (b) his conduct likely would result in a sanction of a Suspension or greater pursuant to CFP Board’s Sanction Guidelines; and (c) an Interim Suspension Order would be in the public interest. Accordingly, the Hearing Panel granted the Petition and issued an Interim Suspension Order to Mr. Leveroni, effective March 15, 2024. To read the Hearing Panel’s order, click here: Case History 46284.

An interim suspension is a suspension of a CFP® professional’s certification and trademark license during the pendency of CFP Board enforcement proceedings. A Respondent subject to an Interim Suspension Order must not use the CFP Board certification marks, state or suggest that Respondent is a CFP® professional, or hold out to the public as being certified by CFP Board while the Interim Suspension Order is in effect. An interim suspension does not preclude CFP Board from imposing a final sanction. An Interim Suspension Order will remain in place until (1) the DEC or, if an appeal is filed, the Appeals Commission, issues a final order addressing the conduct at issue in the Interim Suspension Order; (2) Enforcement Counsel dismisses the investigation of the conduct at issue in the Interim Suspension Order and either (i) Respondent files and Counsel to the DEC (DEC Counsel) grants a Petition to Vacate the Interim Suspension under Article 2.4 or (ii) Enforcement Counsel files and DEC Counsel grants a Motion to Terminate the Interim Suspension under Article 9.1; (3) Respondent fails to file timely a Petition for Reinstatement After Interim Suspension Order and DEC Counsel grants Enforcement Counsel’s Motion for an Administrative Order; (4) Respondent fails to satisfy the requirements of Article 2.3 and DEC Counsel grants Enforcement Counsel’s Motion for an Administrative Order; or (5) the DEC grants a Petition for Reinstatement After Interim Suspension Order filed by Respondent and Respondent has completed all requirements for CFP® certification.

At CFP.net/verify, CFP Board provides the public with:

• An individual’s CFP® certification status and summaries of and links to orders issuing public sanctions to current or former CFP® professionals.
• Links to other sources of information about CFP® professionals that may be more recent or that may contain information that has not led to CFP Board discipline and does not appear on CFP Board’s website. This information may include customer disputes, disciplinary actions taken by a regulator or employer, certain criminal matters and certain financial matters (such as bankruptcy proceedings and unpaid judgments or liens).
• Links to FINRA’s BrokerCheck and the U.S. Securities and Exchange Commission’s (SEC’s) Investment Adviser Public Disclosure databases for individuals who are subject to FINRA or SEC oversight.

CFP Board’s Enforcement Process

As part of their certification, CFP® professionals make a commitment to CFP Board to abide by CFP Board’s Code of Ethics and Standards of Conduct (Code and Standards) or its predecessor, the Standards of Professional Conduct (Standards), which included the Code of Ethics and Professional Responsibility, Rules of Conduct and Financial Planning Practice Standards. Individuals on the pathway to CFP® certification make a commitment to abide by CFP Board’s Pathway to CFP® Certification Agreement (Pathway Agreement). CFP Board’s Code and Standards benefits and protects the public and advances financial planning as a distinct and valuable profession. Compliance with the Code and Standards is critical to the integrity of the CFP Board certification marks.

CFP Board’s Procedural Rules sets forth the process for investigating matters and imposing sanctions where violations have been found. CFP Board enforces its ethical standards by investigating alleged violations and, where there is probable cause to believe there are grounds for sanction, presenting a Complaint containing the alleged violations to CFP Board’s DEC. The DEC meets at least six times a year to review any matter in which CFP Board has alleged that a CFP® professional has violated CFP Board’s Code and Standards or its predecessor Standards, or that an individual pursuing initial CFP® certification has violated the Pathway Agreement. The DEC functions in accordance with the Procedural Rules and reviews all matters on a case-by-case basis, considering the details specific to an individual case. If the DEC determines there are grounds for sanction, then it may impose a sanction. DEC orders may be appealed by a Respondent or CFP Board pursuant to the Procedural Rules.

CFP Board public sanctions include, in order of increasing severity, Public Censures, Suspensions, Temporary Bars, Permanent Bars and Revocations of the right to use the CFP Board certification marks. In certain circumstances, such as when a CFP® professional is in default due to failure to acknowledge receipt of a Notice of Investigation or failure to file an Answer, a CFP® professional may receive an Administrative Order of Suspension, Temporary Bar, Revocation or Permanent Bar. Administrative Orders are subject to appeal.

More information on CFP Board’s enforcement process can be found at CFP.net/ethics/enforcement.

ABOUT CFP BOARD

CFP Board is the professional body for personal financial planners in the U.S. CFP Board consists of two affiliated organizations focused on advancing the financial planning profession for the public’s benefit. CFP Board of Standards sets and upholds standards for financial planning and administers the prestigious CERTIFIED FINANCIAL PLANNER™ certification — widely recognized by the public, advisors and firms as the standard for financial planners — so that the public has access to the benefits of competent and ethical financial planning. CFP® certification is held by nearly 100,000 people in the U.S. CFP Board Center for Financial Planning addresses diversity and workforce development challenges and conducts and publishes research that adds to the financial planning profession’s body of knowledge.

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