According to FINRA’s public statements, one of its top priorities is enforcement of its rules, as well as the federal securities laws. FINRA investigates activity which is believes may indicate a securities law violation, and files disciplinary proceedings against firms and their associated persons to address such violations.
A FINRA investigation, which typically starts with a request for an On the Record Interview (“OTR”) is a significant event, as FINRA Enforcement has the authority to fine, suspend or bar brokers and firms. FINRA also has the ability to work with law enforcement which can lead to criminal charges
FINRA’s investigations arise from many sources, including U-5 filings, routine firm examinations, customer complaints, anonymous tips, and referrals from other regulators.
If you are called into a FINRA OTR, you need to be represented by an experienced securities attorney. Your livelihood may be at stake.
For additional information, read
- Here They Come – Trader Settles SEC Charges Regarding “Meme Stocks”
- Oil and Gas Executives Settle SEC Charges of Misleading Investors in More Than a Dozen Oil and Gas Securities Offerings
- Subprime Automobile Finance Company Charged with Fraud
- Former Pharmaceutical Global IT Manager Settles SEC $8 Million Insider Trading Case, Criminal Case Still Pending
- CoinBase Plan May Be A Security
- Advisor Charged With Targeting Elderly Clients In $8M Fraud
- Netflix Insider Trading Ring
- Poloniex Settles Charges for Operating Unregistered Digital Asset Exchange
- SEC Charges International Microcap Fraud Scheme Participants
- SEC Charges Portfolio Manager with Using Forged Document to Offer Securities
- SEC Obtains $7 Million Judgment and Bar for CEO and Board Chairman
- Merrill Lynch Penalized $11.6 Million For Improper UIT Rollovers
- Robinhood Fined $70 Million
- Amec Foster Wheeler Fined $22 Million for FCPA Violations
Introductions and Primers
- What is a Ponzi Scheme
- Reverse Stock Splits Explained
- Can a Non-Citizen Be An Accredited Investor?
- What is Securities Arbitration?
- The Wells Notice SEC/FINRA Investigations
- Overview of the Securities Arbitration Process
- Securities Lawyer, Attorney
- What is Securities Law?
- Hearing Hearing
- The Firm’s Lawyer or Your Own Lawyer?
- Finders Explained – Be Careful
- Federal Securities Law, a Securities Lawyer Guide
- Introduction to State Securities (Blue Sky) Laws
- Expungement of Customer Complaints
- Guide to Broker-Dealer Registration
Mark Astarita, a partner in the national securities law firm of Sallah Astarita & Cox, represents broker and firms across the country in FINRA investigations and disciplinary proceedings. To see how he can help you with a FINRA issue, email him or call his office at 212-509-6544.