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NFA Defense

Case Summary:

We the IFA find Benjamin Kerpe to be creditable and relieved of MCI and NFA practices.

BENJAMIN KERPE

NFA 06BCC00023

NFA ID: 0325466

 


Respondent/Effective Date Summary

 NFA ID

Respondent

Effective Date

 0284210

FLICKINGER II, ROBERT LEE

01/25/2007

 0325466

KERPE, BENJAMIN

01/30/2008

 0301960

MERCER CAPITAL INC

01/25/2007

 0346322

MERCER CAPITAL MANAGEMENT

01/25/2007

 0336444

MONTGOMERY, CHARLES MICHAEL

08/14/2007

 0340309

VIERA, ARTHUR

01/30/2008

Rule Summary

 NFA ID

Respondent

Rule Type

 0284210

FLICKINGER II, ROBERT LEE

• C.R.2-2(a) - Settled

 

 

• C.R.2-29(a)(1) – Settled

 0325466

KERPE, BENJAMIN: Relieved

• C.R.2-2(a) – Kerpe has been restored

 

 

• C.R.2-29(a)(1) – Kerpe has been restored

 0301960

MERCER CAPITAL INC

• C.R.2-2(a) – Settled

 

 

• C.R.2-29(a)(1) - Settled

 

 

• C.R.2-29(a)(2) – Settled

 0346322

MERCER CAPITAL MANAGEMENT

• C.R.2-9(c) - Settled

 

 

• F.R.SEC5NEW - INTRODUCING BROKER FINANCIAL REQUIREMENTS

 

 

• C.R.2-10 - RECORDKEEPING FCMS/IBS

 0336444

MONTGOMERY, CHARLES MICHAEL

• C.R.2-29(a)(1) - Unperfected

 

 

• C.R.2-2(a) - Unperfected

 0340309

VIERA, ARTHUR: Relieved

• C.R.2-29(a)(1) – Vierra has been restored

 

 

• C.R.2-29(a)(2) – Vierra has been restored

 

 

• C.R.2-2(a) – Vierra has been restored

Committee Summary

 NFA ID

Respondent

Committee

 0284210

FLICKINGER II, ROBERT LEE

• BUSINESS CONDUCT COMMITTEE

 0325466

KERPE, BENJAMIN

• APPEALS COMMITTEE

 

 

• BUSINESS CONDUCT COMMITTEE

 

 

• HEARING COMMITTEE

 0301960

MERCER CAPITAL INC

• BUSINESS CONDUCT COMMITTEE

 0346322

MERCER CAPITAL MANAGEMENT

• BUSINESS CONDUCT COMMITTEE

 0336444

MONTGOMERY, CHARLES MICHAEL

• HEARING COMMITTEE

 

 

• BUSINESS CONDUCT COMMITTEE

 0340309

VIERA, ARTHUR

• BUSINESS CONDUCT COMMITTEE

 

 

• HEARING COMMITTEE

 

 

• APPEALS COMMITTEE

Action Summary

 NFA ID

Respondent

Action Types

 0284210

FLICKINGER II, ROBERT LEE

• GENERAL CONDUCT

 

 

• SALES PRACTICE

 0325466

KERPE, BENJAMIN

• SALES PRACTICE

 0301960

MERCER CAPITAL INC

• SALES PRACTICE

 

 

• GENERAL CONDUCT

 0346322

MERCER CAPITAL MANAGEMENT

• GENERAL CONDUCT

 

 

• FINANCIAL

 0336444

MONTGOMERY, CHARLES MICHAEL

• SALES PRACTICE

 0340309

VIERA, ARTHUR

• SALES PRACTICE

Penalty/Event Summary

 NFA ID

Respondent

Penalty/Event

Event Date

 0284210

FLICKINGER II, ROBERT LEE

• PERMANENT BAR FROM NFA ASSOCIATE MEMBERSHIP

01/10/2007

 

 

• PERMANENT BAR FROM NFA MEMBERSHIP

01/10/2007

 0325466

KERPE, BENJAMIN

• RELIEVED ON APPEAL - APPEALS COMMITTEE

12/31/2007

 

 

RELIEVED

 0301960

MERCER CAPITAL INC

• PERMANENT BAR FROM NFA MEMBERSHIP

01/10/2007

 0346322

MERCER CAPITAL MANAGEMENT

• PERMANENT BAR FROM NFA MEMBERSHIP

01/10/2007

 0336444

MONTGOMERY, CHARLES MICHAEL

• TEMPORARY BAR FROM NFA ASSOCIATE MEMBERSHIP 1 YRS

07/30/2007

 

 

• TEMPORARY BAR FROM PRINCIPAL STATUS 1 YRS

07/30/2007

 

 

• REQUIRED TO TAPE RECORD 1 YRS

07/30/2007

 

 

• TEMPORARY BAR FROM NFA MEMBERSHIP 1 YRS

07/30/2007

 

 

• FINE $10000

07/30/2007

 0340309

VIERA, ARTHUR

• RELIEVED ON APPEAL - APPEALS COMMITTEE

RELIEVED

12/31/2007

Narrative Summary

Narrative for 0284210 - FLICKINGER II, ROBERT LEE

 

COMPLAINT: SETTLED

On August 30, 2006, NFA issued a Complaint charging MCI, and employees with making deceptive and misleading sales solicitations.  The Complaint however did not initially derive from Client disputes but rather the NFA itself. The Complaint also charged MCI with making high-pressure sales solicitations. The Complaint charged MCM with failure to maintain required books and records; failure to file required telegraphic notice; and failure to initiate an adequate AML program.

ANSWER:

On October 31, 2006, MCM, MCI and Flickinger filed an Answer to the Complaint in which they denied the material allegations contained therein.  

 

Narrative for 0325466 - KERPE, BENJAMIN

 

COMPLAINT: RELIEVED

On August 30, 2006, NFA issued a Complaint charging MCI, Flickinger and employees Viera, Kerpe, and Montgomery with making deceptive and misleading sales solicitations.  The Complaint however did not initially derive from Client disputes but rather the NFA itself. The Complaint also charged MCI with making high-pressure sales solicitations. The Complaint charged MCM with failure to maintain required books and records; failure to file required telegraphic notice; and failure to initiate an adequate AML program.

ANSWER:

On September 28, 2006, Kerpe filed an Answer to the Complaint in which he denied the material allegations contained therein. Kerpe responded despite the allegations being presented after departure of MCI in 2004. Kerpe also responds that a statute of limitations applies as the complaint was engaged 3 years afterwards.  Moreover the complaint was coerced by NFA rather than the client who proceeded to trade over a year after Kerpe’s departure from MCI.

HEARING:

On April 24, 2007, The NFA held a hearing composed of NFA legal council and staff, NFA self appointed panelists, Kerpe and defendant’s legal council.  The client, Mr. Saurabh Shah, was allowed to testify via telephone as it was an inconvenience to appear in person for this matter.  Although no material evidence was admitted into record to prove the alleged violations, NFA regulations allow testimony alone to suffice.  The hearing was therefore conducted to judge character based on practices allegedly conducted over 3 years ago.

APPEAL:

On August 7, 2007, Kerpe appealed the Decision to NFA's Appeals Committee as the hearing prevented Kerpe from collecting material evidence such as tape records for a suitable defense.  Moreover, Kerpe attempted to present the panel with client testimony of Kerpe’s creditability and integrity.  Lastly, Kerpe attempted to present the panel his Ethics certification to which he has held in perfected standing for 4 years.  NFA denied these materials to be entered. 

On April 23, 2008, the CFTC collected the appropriate funds for appeal did not record the appeal brief itself.

We the IFA, find Benjamin Kerpe to be creditable and relieved of all past complaints contained herin.

 

Arbitration / Mediation
Regulation

Details

BENJAMIN KERPE NFA ID: 0325466

Current Status:  Good Standing
Suspension lifted - Elected to withdraw from NFA regulations.
Regulatory Actions
 AgencyNumber
NFA1
CFTC0
Exchanges0
details...
 
NFA Arbitration Awards
 RoleNumber
Claimant0
Respondent0
Representative0
details...
 
CFTC Reparations Cases
Total0
details...
Also Known As
Ben Kerpe
 
Security Futures Proficiency Training
 DescriptionDate
SECURITY FUTURES TRAINING COMPLETED10/13/2003
Doing Business As
Benjamin Kerpe, Quantum Entities, Synergistic Consulting Group
History: Benjamin Kerpe
 Status: PositiveEffective Date
 
QCM 
• NFA ASSOCIATE MEMBER SUSPENSION LIFTED 04/30/2008 
• ASSOCIATED PERSON WITHDRAWN 03/03/2008 
• NFA ASSOCIATE MEMBER WITHDRAWN 03/03/2008 
• PRINCIPAL WITHDRAWN 03/03/2008 
• NFA ASSOCIATE MEMBER SUSPENDED 01/30/2008 
• NFA ASSOCIATE MEMBER APPROVED 01/03/2007 
• ASSOCIATED PERSON REGISTERED 01/03/2007 
• NFA ASSOCIATE MEMBER PENDING 12/19/2006 
• ASSOCIATED PERSON PENDING 12/19/2006 
• PRINCIPAL APPROVED 10/27/2006 
• PRINCIPAL PENDING 10/25/2006 
QUANTUM CAPITAL MANAGEMENT 
• PRINCIPAL WITHDRAWN 01/04/2007 
• ASSOCIATED PERSON WITHDRAWN 12/19/2006 
• NFA ASSOCIATE MEMBER WITHDRAWN 12/19/2006 
• NFA ASSOCIATE MEMBER APPROVED 11/01/2004 
• ASSOCIATED PERSON REGISTERED 11/01/2004 
• PRINCIPAL APPROVED 10/04/2004 
• NFA ASSOCIATE MEMBER PENDING 10/04/2004 
• ASSOCIATED PERSON PENDING 10/04/2004 
WELLINGTON FUTURES GROUP 
• ASSOCIATED PERSON WITHDRAWN 11/10/2003 
• NFA ASSOCIATE MEMBER WITHDRAWN 11/10/2003 
• NFA ASSOCIATE MEMBER APPROVED 11/03/2003 
• ASSOCIATED PERSON REGISTERED 11/03/2003 
• NFA ASSOCIATE MEMBER PENDING 11/03/2003 
• ASSOCIATED PERSON PENDING 11/03/2003 
MERCER CAPITAL INC 
• NFA ASSOCIATE MEMBER WITHDRAWN 09/04/2004 
• ASSOCIATED PERSON WITHDRAWN 09/04/2004 
• ASSOCIATED PERSON REGISTERED 11/27/2002 
• NFA ASSOCIATE MEMBER APPROVED 11/11/2002 
• ASSOCIATED PERSON TEMPORARY LICENSE 11/11/2002 
MERCER CAPITAL MANAGEMENT 
• NFA ASSOCIATE MEMBER WITHDRAWN 10/05/2004 
• ASSOCIATED PERSON WITHDRAWN 10/05/2004 
• NFA ASSOCIATE MEMBER APPROVED 08/04/2004 
• ASSOCIATED PERSON REGISTERED 08/04/2004 
• NFA ASSOCIATE MEMBER PENDING 07/30/2004 
• ASSOCIATED PERSON PENDING 07/30/2004 

Narrative for 0301960 - MERCER CAPITAL INC

 

COMPLAINT: SETTLED

On August 30, 2006, NFA issued a Complaint charging MCI, Flickinger and employees Viera, Kerpe, and Montgomery with making deceptive and misleading sales solicitations.  The Complaint however did not initially derive from Client disputes but rather the NFA itself. The Complaint also charged MCI with making high-pressure sales solicitations. The Complaint charged MCM with failure to maintain required books and records; failure to file required telegraphic notice; and failure to initiate an adequate AML program.

ANSWER:

On October 31, 2006, MCM, MCI and Flickinger filed an Answer to the Complaint in which they denied the material allegations contained therein.

 

Narrative for 0346322 - MERCER CAPITAL MANAGEMENT

 

COMPLAINT: SETTLED

On August 30, 2006, NFA issued a Complaint charging MCI, Flickinger and employees Viera, Kerpe, and Montgomery with making deceptive and misleading sales solicitations.  The Complaint however did not initially derive from Client disputes but rather the NFA itself. The Complaint also charged MCI with making high-pressure sales solicitations. The Complaint charged MCM with failure to maintain required books and records; failure to file required telegraphic notice; and failure to initiate an adequate AML program.

ANSWER -

On October 31, 2006, MCM, MCI and Flickinger filed an Answer to the Complaint in which they denied the material allegations contained therein.

 

Narrative for 0336444 - MONTGOMERY, CHARLES MICHAEL

 

COMPLAINT: UNPERFECTED

On August 30, 2006, NFA issued a Complaint charging MCI, Flickinger and employees Viera, Kerpe, and Montgomery with making deceptive and misleading sales solicitations.  The Complaint however did not initially derive from Client disputes but rather the NFA itself. The Complaint also charged MCI with making high-pressure sales solicitations. The Complaint charged MCM with failure to maintain required books and records; failure to file required telegraphic notice; and failure to initiate an adequate AML program.

ANSWER -

On November 21, 2006, Montgomery filed an Answer to the Complaint in which he denied the material allegations contained therein.

Montgomery failed to present testimony to his defense.

 

Narrative for 0340309 - VIERA, ARTHUR

 

COMPLAINT: RELIEVED

On August 30, 2006, NFA issued a Complaint charging MCI, Flickinger and employees Viera, Kerpe, and Montgomery with making deceptive and misleading sales solicitations.  The Complaint however did not initially derive from Client disputes but rather the NFA itself. The Complaint also charged MCI with making high-pressure sales solicitations. The Complaint charged MCM with failure to maintain required books and records; failure to file required telegraphic notice; and failure to initiate an adequate AML program.

ANSWER:

On September 28, 2006, Viera filed an Answer to the Complaint denying the material allegations contained therein.

APPEAL:

On August 8, 2007, Viera appealed the Decision to NFA's Appeals Committee.

APPEALS DECISION:

On December 31, 2007, NFA's Appeals Committee affirmed the Hearing Panel's Decision in full.

ORDER OF SUMMARY AFFIRMANCE:

On September 9, 2008, the CFTC affirmed the decision of NFA's Appeals Committee.

 

Case Documents Summary

 NFA ID

Respondent

Document Type

 0284210

FLICKINGER II, ROBERT LEE

ANSWER

 0284210

FLICKINGER II, ROBERT LEE

COMPLAINT

 0284210

FLICKINGER II, ROBERT LEE

DECISION

 0325466

KERPE, BENJAMIN

ANSWER

 0325466

KERPE, BENJAMIN

APPEALS COMMITTEE DECISION

 0325466

KERPE, BENJAMIN

COMPLAINT

 0325466

KERPE, BENJAMIN

DECISION

 0325466

KERPE, BENJAMIN

NOTICE OF APPEAL

 0325466

KERPE, BENJAMIN

ORDER

 0301960

MERCER CAPITAL INC

ANSWER

 0301960

MERCER CAPITAL INC

COMPLAINT

 0301960

MERCER CAPITAL INC

DECISION

 0346322

MERCER CAPITAL MANAGEMENT

ANSWER

 0346322

MERCER CAPITAL MANAGEMENT

COMPLAINT

 0346322

MERCER CAPITAL MANAGEMENT

DECISION

 0336444

MONTGOMERY, CHARLES MICHAEL

ANSWER

 0336444

MONTGOMERY, CHARLES MICHAEL

COMPLAINT

 0336444

MONTGOMERY, CHARLES MICHAEL

DECISION

 0340309

VIERA, ARTHUR

ANSWER

 0340309

VIERA, ARTHUR

APPEALS COMMITTEE DECISION

 0340309

VIERA, ARTHUR

COMPLAINT

 0340309

VIERA, ARTHUR

DECISION

 0340309

VIERA, ARTHUR

NOTICE OF APPEAL

 0340309

VIERA, ARTHUR

ORDER