FINRA Proposes Additional Conditions to Rulemaking on Remote Office Inspections
FINRA proposed adding conditions on a rulemaking to adopt a voluntary three-year pilot program that would allow broker-dealers to conduct annual office inspections remotely.
The amendment to the proposal would provide a list of factors a firm must consider when conducting remote office inspections, and would encourage more frequent use of unannounced, on-site inspections at locations deemed high-risk or previously "red-flagged." The partial amendment would also tighten the criteria for eligibility in the pilot program, including imposing loss of eligibility for failing to comply with FINRA Rule 3110.18 ("Supervision"). The amendments were offered in response to concerns raised by market participants.
Comments on the partial amendment are due by January 12, 2023.
Related Articles
-
The SEC opened a new comment period on a proposal to adopt a voluntary three-year pilot program to allow broker-dealers to conduct annual office inspections remotely.
-
FINRA proposed a voluntary three-year pilot program to allow broker-dealers to conduct annual office inspections remotely.
-
FINRA proposed extending temporary Supplementary Material .17 under FINRA Rule 3110 ("Supervision") to allow remote office inspections through calendar year 2023.
-
FINRA proposed extending temporary rules allowing remote office inspections through calendar year 2022.
-
The SEC approved a FINRA temporary rule amendment that allows member firms to complete their inspection obligations remotely through calendar year 2021.
-
FINRA proposed a rule change that would allow member firms to complete their inspection obligations remotely through calendar year 2021.
