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FINRA Examiners Are Unfairly Manipulating Non-Complaining Customers To Trigger Complaints

I have watched enough medical shows over the years, from the awesome St. Elsewhere to the never-ending Grey’s Anatomy, to have heard umpteen times that the Hippocratic Oath includes the admonition that doctors “do no harm.” ...more

[Webinar] FINRA: A Look Back at 2023 and What’s In Store for 2024 - December 19th, 12:00 pm - 1:00 pm EST

Join Ulmer partner Alan M. Wolper as he addresses hot topics including FINRA's oversight of Reg BI, trends in enforcement and arbitration filings, and perspective whether FINRA would survive a constitutional challenge....more

When It Comes To GPB, FINRA Looks At Things Quite Differently Than The SEC And The DOJ

Among the criticisms I have leveled against FINRA are (1) that it is increasingly acting like a claimant’s arbitration attorney, by taking every possible opportunity to blame member firms for losses incurred by investors when...more

Securities America SEC Settlement Raises Prospect Of New Supervisory Standard

There have been tons of cases where firms got in trouble – in AML trouble, which is one the worst kinds of trouble – for failing to be sufficiently on top of third-party wires, i.e., where a customer wires money not to...more

Credit Suisse Runs Into Trouble Trying To Monitor Outside Brokerage Accounts, Despite Its Best Intentions

Sometimes, the numbers that FINRA cites in its settlements with big broker-dealers are so ridiculously large that it’s nearly impossible to compare these cases with those brought against small firms for similar rule...more

If You Supervise Yourself - Which You Cannot Do - Make Sure You Do It Right

I have always operated with the understanding that, per FINRA rules, one cannot supervise him- or herself. Hardly an outrageous proposition. Today, however, that fundamental, bedrock understanding was so shaken, it has left...more

AWC Serves As Reminder That Scope Of FINRA’s Advertising Rule Extends Beyond Securities

I have always found it enlightening – and a bit scary – to talk to my clients about FINRA Rule 2210, the advertising (or “communications with the public”) rule, to see what they know about it. It’s a long, dense rule, so I’m...more

The Trouble With Texts

Having completed my Enforcement hearing conducted by Zoom – more about that in an upcoming post – I can finally turn my attention back to some matters that arose while I was busy. One that stood out for the sheer (and...more

FINRA Rule 8210

I hope that you have had the chance to enjoy Jessica Hopper’s paean to Rule 8210 in her recent blog posted on FINRA’s website. Very disturbing, and for all the old reasons. First, once again, she starts by patting herself –...more

The Trouble With The “Should-Have-Known” Standard, As It Applies To Red Flags

Last year, I wrote a piece called “Wedbush Learns That It’s Not Enough Just To Spot Red Flags.” As the title suggests, it analyzed an SEC decision in which Wedbush was sanctioned because it failed in several respects to...more

FINRA’s Concerns About Maintaining Confidentiality Seem To Be Broadening

I hope that, by now, everyone understands and appreciates just how freakishly sensitive the regulators are to misconduct involving the wrongful sharing of confidential information. If you don’t, however, FINRA was kind enough...more

“The Opinions Offered Today Are Mine Alone And Do Not Represent The Commission” — A Summary Of Recent Remarks From SEC And CFTC...

Anyone who has sat through a talk by financial regulators is undoubtedly familiar with the refrain from the individuals that they do not speak for the Commission and that the opinions offered are their own. Even with that...more

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