FINRA Suspends and Fines Two Former Wells Fargo Brokers

Iorio Law PLLC
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Recently, the Financial Industry Regulatory Authority (FINRA) announced disciplinary actions against two financial advisors, Eyan M. Townsend and George J. Cairnes, for serious misconduct, including unauthorized communications, undisclosed outside business activities, borrowing funds from a client, and interfering with a firm’s investigation.

If you were a client of Eyan M. Townsend or George J. Cairnes and suffered investment losses as a result of their or their firm’s actions, you should contact Iorio Law PLLC for a free consultation to review your legal rights to potentially recover damages.

FINRA has suspended former Wells Fargo Clearing Services, LLC broker Eyan M. Townsend (CRD No. 5286707) for one year after finding that he engaged in conduct that violated FINRA rules.  

Between September 2023 and January 2024, while he was associated with Wells Fargo, Townsend violated FINRA Rules 4511 and 2010 by sending unauthorized, business-related text messages on his personal cell phone. Mr. Townsend did not disclose the use of personal texts to Wells Fargo or provide the firm with copies, thus causing Wells Fargo to violate its recordkeeping obligations.

Furthermore, during the subsequent firm investigation, Mr. Townsend actively impeded the review process by falsely stating to Wells Fargo that he did not send business-related text messages and deleted the messages from his cell phone in order to impede the firm’s investigation, thereby violating FINRA Rule 2010.

For these violations, FINRA imposed a fine of $10,000 and suspended him in all capacities for one year.

Read the full FINRA settlement here: FINRA AWC – Eyan Townsend

Eyan M. Townsend (CRD No. 5286707)

Mr. Townsend has been in the securities industry since 2013. He was previously registered with Edward Jones (2013-2018), Wells Fargo Clearing Services, LLC (2018-2024), and Park Avenue Securities, LLC (July 2024 – December 2024). Due to FINRA suspension, Mr. Townsend is currently not permitted to act as a broker.  

On April 26, 2024, Wells Fargo discharged Mr. Townsend after an internal review arising from his failure to conduct business through firm-approved communications technology.

Review his BrokerCheck record here: FINRA BrokerCheck – Eyan Townsend

FINRA investigated another broker, George J. Cairnes (CRD No. 4068906), previously associated with Wells Fargo. FINRA found that Mr. Cairnes engaged in Outside Business Activity (OBA) with a firm customer for approximately eight years, from August 2015 to August 2023. Mr. Cairnes partnered with the firm customer to buy, manage, and sell real estate, even incorporating an LLC for the partnership. Mr. Cairnes received compensation for this activity, which he failed to disclose in writing to Wells Fargo. Additionally, Mr. Cairnes affirmatively attested on multiple brokerage firm compliance forms that he was not participating in any undisclosed OBAs. Due to this misconduct, Mr. Cairnes was found to have violated FINRA Rules 3270 and 2010.

FINRA imposed a four-month suspension from associating with any FINRA member in all capacities and a $2,500 fine.

Read the full FINRA settlement here: FINRA AWC – George Cairnes

George J. Cairnes (CRD No. 4068906)

Mr. Caines is a veteran of the securities industry with over twenty years of experience. He previously worked for Merrill Lynch, Pierce, Fenner & Smith Inc. (2000-2008), Stanford Group Co. (2008-2009), Wells Fargo Investments, LLC (2009-2011), Wells Fargo Clearing Services, LLC (2011-2023), and Chelsea Financial Services (July 2023 – November 2023). He is not currently registered with any state or self-regulatory organization.

In addition to the recent October 2025 OBA regulatory disclosure as discussed above, his record shows additional actions and customer disputes.

  • In 2024, the Texas State Securities Board also investigated and imposed sanctions for Mr. Cairnes’ impermissible, undisclosed real estate arrangement in which he received at least $175,000 from the client. The sanctions prevent him from registering for a license in Texas for a period of two years.
  • In 2023, Wells Fargo Clearing Services discharged Mr. Cairnes from employment due to allegations that he facilitated a loan between clients, as well as loans and other transactions between a client and individuals associated with the financial advisor.
  • The prior customer complaints include a settled matter from 2009 alleging an unsuitable mortgage recommendation and a pending allegation regarding an unpaid line of credit extended by a customer to Mr. Cairnes, his family members, and friends.

Review his BrokerCheck record here: FINRA BrokerCheck – George Cairnes

Wells Fargo – A Duty to Supervise

Every brokerage firm, including Wells Fargo Clearing Services, has a fundamental duty to diligently supervise its financial advisors and associated persons, including their communications with customers and outside business activities.

Brokerage firms must establish and maintain a reasonably designed system to oversee account activity, client communications, and outside business activities to ensure compliance with securities laws and industry regulations. This supervision is critical to prevent misconduct, ensure compliance with firm and regulatory rules, and protect investors. Failure to monitor communications or failure to enforce rules regarding outside business activities may lead a brokerage firm to have breached its supervisory duty and therefore be responsible for the resulting harm to investors.

How to Recover Investment Losses or Obtain a Free Consultation

When an investor suffers investment losses due to misconduct by a financial advisor or broker-dealer, the investor can file a securities arbitration claim against their financial advisor and/or broker-dealer in an effort to be compensated.

Iorio Law PLLC is a securities arbitration law firm located in New York, NY. We represent investors nationwide and vigorously pursue FINRA arbitration claims on behalf of investors to recover investment losses.

If you have suffered investment losses related to the conduct of Eyan M. Townsend, George J. Cairnes, or Wells Fargo, contact Iorio Law PLLC for a free and confidential evaluation of your claim.

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