August 9, 2021
(Current to contain additional element from Satterfield’s CRD filing)
A 21-calendar year business veteran who left Morgan Stanley in January of previous calendar year has been purchased by a panel of Financial Sector Regulatory Authority arbitrators to pay out again just about $1.5 million in promissory notes, additionally curiosity and fees, in accordance to a stipulated award finalized final 7 days.
Robert R. Satterfield, based mostly in Washington, D.C., joined Morgan Stanley in 2014 from UBS Wealth Administration Usa, where he had managed $180 million in shopper assets and created $1.6 million in income around the previous 12 months, in accordance to a Reuters posting at the time.
Morgan Stanley, which had alleged breach of promissory notes, sought approximately $1.3 million plus curiosity on the first notice and just about $184,000 moreover curiosity on a second notice issued to Satterfield, in accordance to the award letter released on August 5.
Like several important corporations, Morgan Stanley pays leading brokers signing gives structured as ‘forgivable’ financial loans that can access 3-times a brokers’ annual profits, which include back again-stop deferred bonuses, but also involve them to remain at the company for upwards of a 10 years right before the financial loans are thoroughly forgiven.
Morgan Stanley had $3.24 billion in staff loans excellent as of the finish of 2020, up 8.7% from $2.98 billion the calendar year just before, in accordance to its 2021 yearly report. The calendar year-in excess of-12 months stability maximize was a side outcome of the wirehouse’s reviving its employing attempts because stepping back again from the fray in 2017.
Satterfield had denied the firm’s allegations, countering that Morgan Stanley had wrongfully terminated him, more accusing the wirehouse of illegal discrimination and retaliation in violation of statutory legislation. He had sought unspecified damages, reinstatement, back pay additionally curiosity, and service fees and fees. Morgan Stanley denied those counterclaims.
Satterfield, who has not registered with another Finra member company since his exit from Morgan Stanley, could not instantly be reached for remark on the matter.
The broker’s D.C.-primarily based attorney, Dave Scher at Hoyer Regulation Group, did not respond to a request for remark on the Finra end result, Satterfield’s exit from Morgan Stanley, or if Satterfield strategies to return to the brokerage marketplace.
A Morgan Stanley spokeswoman declined to comment for this story.
The three Finra panelists ordered Satterfield to repay Morgan Stanley $1,498,523.45 in compensatory damages, $137,765.23 in publish-termination interest, and $259.59 curiosity for every day from July 31, 2021 until eventually all sums owing are fully compensated, according to the award letter.
Satterfield, whose counterclaims were all denied, is also on the hook for $182,643.11 in attorneys’ expenses and fees pursuant to the conditions of the promissory notes.
The events on July 20 experienced arrived at a stipulation on the dispute, granted by the panelists on July 28, in accordance to the award letter, which also stated Morgan Stanley is not permitted to request confirmation or further enforcement of the stipulated award before September 30 of this calendar year.
Satterfield started his brokerage vocation in 1996 with PaineWebber Inc., where by he remained right up until 1998, in accordance to his BrokerCheck report. He future registered in 2000 with Merrill Lynch and in 2004 moved to UBS, in accordance to the database. His Central Registration Depository (CRD) ‘Snapshot’ report, taken care of by condition securities regulators, indicated his exit from Morgan Stanley was voluntary.
Satterfield, a 1995 graduate of the College of Maryland University of Behavioral and Social Sciences, was recognized by the university in October 2016 for committing $1 million “in assist of a number of initiatives in BSOS and Athletics,” which include a $200,000 matching present fund.
In other current promissory be aware cases, a previous Morgan Stanley broker in Sarasota, Florida was purchased in June to pay back again practically $600,000 in promissory notes subsequent his January 2021 termination, although a further former Morgan Stanley broker in Boca Raton was requested in January to repay a $984,000 notice harmony tied to his July 2020 resignation.
Rival wirehouse UBS Wealth Administration Usa in a court docket submitting very last thirty day period mentioned it experienced expended more than $60,000 in authorized fees as part of a promissory take note dispute involving a broker who remaining the organization 16 decades ago.