FINRA January 2013 Podcast with Quarterly Disciplinary Review
FINRA staff discussed examples of registered representatives’ misconduct in settled or litigated cases, as featured in the October issue of FINRA's Quarterly Disciplinary Review. See below for descriptions of some cases.
- FINRA's National Adjudicatory Council ("NAC") suspended and fined a registered representative who failed to investigate a customer's trading instructions, which violated the FINRA ethical standards rule;
- FINRA suspended a registered representative who failed to disclose his association with two businesses to his firm and who acted improperly while administering a state insurance continuing education course, violating the FINRA ethical standards rule;
- FINRA suspended and fined a registered representative involved in selling away $300,000 in promissory notes and common stocks to four investors as part of a private offering (3 out of 4 were customers of his firm), violating the private securities transactions and ethical standards rules;
- FINRA suspended and fined a representative who possessed blank, pre-signed forms and documents with photocopied customer signatures and dates. His conduct was against the firm's policies and violated FINRA's ethical standards rule;
- FINRA suspended and fined a registered representative who posted unwarranted and misleading statements on a message board using six different author names. He embellished the prospects of a publicly traded company and created the illusion of consensus with supposed "conversations" between his various aliases.
Listen to podcast here (links externally to FINRA's website).