FINRA has fined Ameriprise Financial Services, Inc. and its affiliated clearing firm $750,000 for failing to have reasonable supervisory systems in place to monitor wire transfer requests and the transmittal of customer funds to third-party accounts.
Seems the client isn’t always right when it comes to regulatory matters.
Broke and Broker blogger Bill Singer notes FINRA has a “taping rule” requiring securities firms to put monitoring procedures in place when a company has a certain proportion of employees who recently worked for “disciplined firms.”
The inimitable Bill Singer is the source of our fourth news item of the day dealing with bad behaviour in the financial services industry.
Francis Martin Florey was quickly caught and fined by FINRA for both impersonating a wealthy client and attempting to steal their funds.
In April 2010, FINRA’s filed a complaint against a Jefferies and Co. employee for selling auction rate securities before the stressed market collapsed in 2008. Its charged were recently dismissed.
The Certified Financial Planner Board of Standards (CFP) imposed public disciplinary actions against 19 advisors yesterday, removing all of their rights to use the CFP certification.
Former stockbroker Patrick Alan Deramus was charged with a DUI, but took eight months to report the felony to his now former employer, FSC Securities Corporation. Read: Professionals failing to report fraud On March 12, 2010, FSC filed an amended Form U4 reporting Deramus’s felony charge and conviction. Immediately after, Deramus was subject to statutory […]
On April 6 2010, Gregory M. Viechnicki, a general securities representative at BrokersXpress borrowed $10,000 from a public customer of the firm. Although he subsequently paid back the $10,000 with interest, he violated the NASD Conduct Rule 2370: Borrowing from or Lending to Customers and the FINRA Rule 2010: Standards of Commercial Honor and Principles […]
America’s SRO for brokers is urging investors to review their account statements, in an effort to make clients more aware of errors or misconduct by brokers or firms, including transgressions such as unauthorized trading or overcharging customers for handling transactions.