Let’s take a step back from Covid-19 news, for a moment, which, rightfully, has dominated the news and everyone’s collective conscience, and focus on something that has been pervasive in the broker-dealer world for much, much longer than this virus, and which has taken its own toll on the industry in terms of dollars –
FINRA
FINRA Claims To Be Reasonable When It Comes To Sanctions, But It Is Clear That Permanent Bars Are What It’s All About
By Alan Wolper on
If you are a regular reader of this blog, you know that one of my pet peeves with FINRA is its unrelenting zeal to bar people, permanently, from the securities industry. Seemingly without much regard for the actual conduct at issue, or for the existence of mitigating circumstances. It is literally a running joke in…
Can/Should FINRA Hearings Be Conducted Using Zoom?
By Alan Wolper on
I read with interest earlier this week that a judge in Texas conducted a one-day bench trial via Zoom, apparently representing the first time this has happened. I understand that hearings, i.e., matters that involve arguments of counsel, rather than the introduction of evidence through the examination of live witnesses, are often done over the…
If Covid-19 Wasn’t Bad Enough, Just Wait For The Arbitrations
By Alan Wolper on
Forced to sit at home under government-ordered decree, and having finished binge-watching Season 3 of Ozark and Season 4 of Money Heist on Netflix, what’s left to do except prey upon scared investors – particularly seniors – who have been watching the markets not so much fly as plummet? With (perhaps) that very thought…
What Happens When Potential Arbitrators Don’t Answer The Phone
By Alan Wolper on
Posted in Arbitration, FINRA
I think that most lawyers who handle arbitrations, no matter what side of the table they occupy, would agree that one of the most important components of the case – perhaps the most important – is the selection of the arbitrators who comprise the hearing panel. Doesn’t matter how good your case is, either from…
FINRA’s ODA Continues To Operate As Enforcement’s Puppeteer
By Alan Wolper on
A couple of years ago, I complained here about FINRA’s Office of Disciplinary Affairs, or ODA. I am here to report that…nothing has changed.
Let me explain. I am defending a FINRA Enforcement case that is scheduled to go to hearing in a few months. As is often the case, before the complaint was filed,…
Countdown Continues As SEC And FINRA Issue Additional Reg BI Guidance
By Heidi VonderHeide on
When It Comes To Sanctions, What Does “Relevant Disciplinary History” Mean To FINRA, And Does It Vary Depending On The Size Of The Firm?
By Alan Wolper on
The day after Christmas, FINRA issued a press release announcing that five big firms – Citigroup, J.P. Morgan Chase, LPL, Morgan Stanley and Merrill Lynch – had each entered into a settlement, collectively agreeing to pay a $1.4 million fine. Their offense? They each violated FINRA’s supervisory rules because for a number of years, dating…
An Undisclosed Conflict Of Interest – By FINRA – Results In Bar Being Vacated
By Alan Wolper on
From time to time, I have lamented that FINRA does not hold itself to the same lofty standards to which it holds its members. I realize I am painting with a broad brush, as there are lots of folks at FINRA who do a great job, who are easy and reasonable to deal with, and…
What You Can, And Should, Be Doing To Prepare For Reg BI
By Heidi VonderHeide on
My partner, Heidi VonderHeide, has busied herself these last few months learning everything she can about Reg BI. Happily, here is her post on the subject, and it doesn’t predict gloom and doom in the new year as that regulation is implemented. – Alan
Just before the Holidays, I attended FINRA’s one-day Reg BI seminar…