This case is of interest to those who need to understand
the SEC's interpretation of its jurisdiction over FINRA disciplinary actions.
FINRA sanctioned Sharemaster for failing to file an annual audit by a firm
registered with PCAOB. At issue...
by Bryan Ward
The Securities and Exchange Commission recently approved
a rule change that allows claimants to choose an arbitration panel made up
entirely of public arbitrators. This change is applicable to all current
customer cases in which FINRA...
The SEC lost another case in the D.C. Circuit Court of
Appeals. This time, however, it did not involve rule making. Rather, the action
focused on the imposition of a life time bar from the securities business by
FINRA which was affirmed by the Commission...
The OTC Bulletin Board (known to all as the
OTCBB) started in 1990 on a pilot basis and was made permanent in 1997. As
of 1999 all OTCBB companies were required to be fully SEC reporting. Unlike
major exchanges such as Nasdaq, where the relationship...
by Jeff Kern and Manuel F. Gomez
In Regulatory Notice 14-40 , FINRA reminds members that it is a violation of FINRA Rule 2010 (Standards of Commercial Honor and Principles of Trade) to incorporate into a settlement agreement a confidentiality provision...
Will FINRA step in to prevent a ban
on placement agents working with government investors?
You may remember that last August,
the SEC published a proposed rule that would create a prohibition on paying a
third party, such as a placement agent, to...
As the insider trading trial of a former Goldman director continued in Manhattan, another insider trading probe moved to the playing field, according to a Reuters report. The probe reportedly focuses on a prominent retired baseball player and other athletes...
The Galleon insider trading trial continues this week in
New York. In another New York court room the Commission struggled to have a
partial settlement approved by the court. While the agency secured the
necessary approval it was not without a cost...
The Financial Industry Regulatory Authority (FINRA) regulates US broker-dealers, a “self-regulatory organization” run by the brokers themselves and overseen by the SEC. A very popular online resource is called BrokerCheck, which lets you pretty...
This week much of the news was dominated by two events. One was the difficulties and issues surrounding the IPO for Facebook. The other was the insider trading trial of Rajat Gupta, formerly a Goldman Sachs director.
Congress heard testimony from SEC...
Insider trading has long been an SEC enforcement
priority. While the Manhattan U.S. Attorney has brought the headline grabbing
cases, the SEC has been equally aggressive in a series of actions which may
redefine the insider trading (here). This has...
The ABACUS deal has become the one that just will not go
away for Goldman Sachs. First, the deal became the predicate for an SEC
enforcement action against the pillar of Wall Street and one of its employees,
Fabrice Tourre. That high profile case resolved...
World Trade Financial Corp., et. al. , Exchange Act Rel. 66114, January 6, 2012. World Trade, its president Rodney Michel, its supervisor of trading Jason Adams and Frank Brickell a rep appealed Finra sanctions. Finra found World Trade and Brickell sold...
Securities, Corp., Craig M. Biddick , Exchange Act Rel. 63453, December 7,
Time since appeal filed - 8 months 6 days
Time since last brief - 4 months 26 days
FINRA found that Mission and Biddick, a rep at the firm converted...