EarlyBirdCapital censured and fined for alleged FOCUS report shortcomings
The firm inaccurately calculated its aggregate indebtedness and net capital. This resulted in the filing of 16 FOCUS reports that over or understated the firm’s actual excess net capital. Despite the inaccurate calculations, the firm maintained sufficient net capital during the relevant period.
In addition the firm failed to establish an adequate supervisory system and WSPs connected with the firm’s net capital calculations and related reporting.
FINRA Rule 2010 FINRA Rule 3110
Former products representative suspended and fined for allegedly falsifying two life insurance applications
The applications were submitted without the customers’ knowledge or consent with the signatures of the customers forged on both applications.
The representative attempted to settle the customers’ complaints without the firm’s knowledge or approval.
FINRA Rule 2010
Meeder Distribution Services censured and fined for allegedly failing to maintain its required minimum net capital
Non-allowable assets were misclassified as allowable when making net capital computations. This resulted in net capital deficiencies that, at times, exceeded $1m.
The firm also filed inaccurate FOCUS reports and inaccurate as well as untimely notices of its net capital position.
FINRA Rule 2010 FINRA Rule 4511 SEA 1934 Rule 17a-3 SEA 1934 Rule 17a-4 SEA 1934 Rule 17a-11
Former securities representative charged with allegedly failing to provide to provide information requested in connection with an investigation
Note that this is a complaint and not an AWC
FINRA Rule 2010 FINRA Rule 8210
Former registered person suspended and fined for allegedly cheating during an exam
The registered person repeated accessed information on his cell phone during an SIE exam.
FINRA Rule 1210.05 FINRA Rule 2010
Products representative suspended and fined for allegedly falsely certifying that he had personally completed the continuing education required to renew an insurance license
Another person had completed 15 hours of insurance continuing education on his behalf.
FINRA Rule 2010
TD Ameritrade censured and fined for alleged customer due diligence failings
The firm relied on an automated, electronic system to vet customers for options trading. The system was poorly configured and failed to compare applications with those submitted more than 60 days prior or those that had already been rejected by the firm.
The firm also approved customers for certain levels of options trading despite the presence of red flags signalling that such approval may not have been appropriate.
FINRA Rule 2010 FINRA Rule 2360 FINRA Rule 3110
Former contracts representative charged with allegedly failing to provide documents and information requested in connection with an investigation
FINRA Rule 2010 FINRA Rule 8210
Former securities representative barred for allegedly failing to produce information and documents requested
The former representative also refused to appear for on-the-record testimony.
FINRA Rule 2010 FINRA Rule 8210
| Unless otherwise noted all respondents accepted and consented to FINRA’s findings without admitting or denying them. |