Charles Schwab & Co. censured and fined for allegedly failing to disclose required information to customer and for supervisory system failures
The firm sent transaction confirmations to customers, but failed to include information indicating that the securities were subject to redemption and that redeeming these before maturity could affect their yields. The firm did not have adequate supervisory procedures in place to review the accuracy of the redemption features or verify information provided to it by its vendor in connection with such features.
Exchange Act Rule 10b-10(a)(4) FINRA Rule 2010 FINRA Rule 2232 FINRA Rule 3110
TD Ameritrade Clearing censured and fined for allegedly failing to disclose required information to customers
The firm sent transaction confirmations to customers, but failed to include information indicating that the securities were subject to redemption and that redeeming these before maturity could affect their yields.
Exchange Act Rule 10b-10(a)(4) FINRA Rule 2010 FINRA Rule 2232
Products representative suspended and fined for allegedly falsifying customer signatures
The falsification involved 19 LPL forms and was done with the permission of the customers who authorized the representative to affix or re-use their signatures. At the time the firm had a policy in place that “expressly prohibited registered representatives from signing, affixing or re-using a customer’s signature, name or initials”.
FINRA Rule 2010 FINRA Rule 8210
Former securities representative barred for allegedly refusing to appear for on-the-record testimony
FINRA Rule 2010 FINRA Rule 8210
Former securities representative barred for allegedly refusing to produce information and documents
FINRA Rule 2010 FINRA Rule 8210
Former securities representative barred for allegedly refusing to appear for on-the-record testimony
FINRA Rule 2010 FINRA Rule 8210
UnionBanc Investment Services censured and fined for allegedly failing to comply with its discovery obligations
A former employee filed an arbitration against the firm. Subsequently the firm was also served with a request for the production of documents related to the employee’s termination. The firm initially only produced a small number of emails in response to this and the arbitrator ordered it to disclose in full. This led to the firm producing thousands of additional emails. These emails were “excessively redacted” based on “improper privilege assertion”. The firm failed to respond to the arbitrator’s order to remove the redactions, only complying with a third order almost a year after the initial request was filed by the claimant. The arbitrator found that the firm “created unwarranted impediments to discovery” and violated the rules of the arbitration forum.
FINRA Rule 2010
Former products representative barred for allegedly refusing to produce information and documents
FINRA Rule 2010 FINRA Rule 8210
Former securities representative barred for allegedly refusing to produce information and documents
FINRA Rule 2010 FINRA Rule 8210
Former securities representative suspended and fined for alleged trading without a customer’s authorization or consent
Disgorgement of $7,887 plus interest has also been ordered as the representative earned commissions from the trades.
FINRA Rule 2010
Former securities representative suspended and fined for allegedly failing to disclose a felony charge on Form U4
FINRA Rule 1122 FINRA Rule 2010
Former securities representative barred for allegedly refusing to produce information and documents
FINRA Rule 2010 FINRA Rule 8210
| Unless otherwise noted all respondents accepted and consented to FINRA’s findings without admitting or denying them. |