| March 6
March 6 A former broker for Wells Fargo Advisors
LLC has been barred from the securities industry after allegedly
writing at least $650,000 in checks from a client's account
without permission, including to his girlfriend, according to a
Adorean Boleancu, a former San Francisco-based adviser at
Wells Fargo Private Bank, a unit of Wells Fargo & Co,
agreed to a permanent bar from the industry in a settlement with
the Financial Industry Regulatory Authority, Wall Street's
self-watchdog, according to a document dated Tuesday.
Boleancu must also repay the client, an elderly widow,
$650,000, according to the settlement. He neither admitted nor
denied FINRA's findings.
A Wells Fargo spokesman declined to comment.
Boleancu made a "common sense decision" to settle FINRA's
action without incurring monetary penalties, said his San
Francisco-based lawyer, Ethan Balogh. Boleancu repaid the
client, Donna Treadwell, in February, Balogh said.
Boleancu also faces a separate arbitration filed by
The FINRA action stems from alleged misconduct that occurred
after Boleancu joined Wells Fargo in 2008 and until 2010. He
allegedly wrote checks in Treadwell's name from two home equity
lines of credit he advised her to open, FINRA said. The
recipients included his girlfriend, said FINRA.
He used Treadwell's checking account to pay the equity line
Treadwell filed a lawsuit last year in a California state
court against Boleancu, Wells Fargo and Morgan Stanley,
where Boleancu worked from 2004 to 2008, according to filings.
Boleancu was Treadwell's adviser at Morgan Stanley and she
moved her assets to Wells Fargo when he switched firms.
Treadwell, while at Morgan Stanley, also invested $2 million
in variable annuities as Boleancu advised, according to the
lawsuit. Variable annuities are tax-deferred investments tied to
an insurance contract. They can be risky, however, because the
returns, unlike fixed annuities, fluctuate based on the
performance of underlying securities.
She paid a $70,000 fee to exit the annuities last year. By
then, their value sank by $1 million.
The parties later agreed to resolve the court case in
Morgan Stanley plans to defend itself in the arbitration, a
spokeswoman said. Boleancu's conduct in the FINRA action, she
said, happened after he left Morgan Stanley.
Wells Fargo terminated Boleancu in 2011 for not adequately
participating in a company review about a loan from a client,
the firm disclosed in a filing.