The United State Financial Industry Regulatory Authority (FINRA) has accepted a settlement offer by David Patrick Beston, a former representative of JPMorgan Securities LLC and Fidelity.

Beston entered the securities industry in 2007. In October 2012, Beston became registered as a General Securities Principal, General Securities Representative, Municipal Securities Principal, and General Securities Sales Supervisor through an association with J.P. Morgan Securities LLC. On November 30, 2012, J.P. Morgan filed a Uniform Termination Notice for Securities Industry Registration (Form U5), stating that Beston’s registration had terminated voluntarily on November 29, 2012.

During 2012, Beston printed nonpublic personal information of approximately 500 firm customers from a firm computer database and retained a hard copy at his home, without authorization. The hard copy identified the customers by name and included their account values. In addition, the hard copy contained several customers’ account numbers. Some of the customers were serviced by Beston, and the great majority of the customers were serviced by registered representatives that Beston supervised.

Beston printed and retained the information in anticipation of departing the firm and serving as a registered representative elsewhere, due to a restructuring that jeopardized Beston’s employment with J.P. Morgan.

In November 2012, Beston resigned from J.P. Morgan and continued to retain the nonpublic personal information without authorization. In December 2012, Beston accepted a position at Fidelity.

In February 2013, Beston met with a registered representative from another FINRA member firm who had tried to recruit Beston before he joined Fidelity. Beston sold half of the nonpublic personal information regarding approximately 250 of the J.P. Morgan customers to this registered representative in exchange for $7,500.

Before delivering the information, Beston redacted the customer account numbers. However, the customers’ names and account values were not redacted.

By improperly removing and retaining the customer nonpublic personal information identified above, Beston caused J.P. Morgan to violate Regulation S-P, and in so doing, Beston violated FINRA Rule 2010. Beston’s sale of the information constituted an additional violation of Rule 2010.

To settle the matter, Beston has agreed to a five-month suspension from associating with any FINRA member in any capacity, as well as a $5,000 fine. He will also have to pay a $7,500 in disgorgement plus interest.