Skip to main content

FINRA Holding Brokerages To Its Own New Slightly-Less-Low Standards

New rules!
  • Author:
  • Updated:

Wall Street’s self-regulator has reluctantly agreed to start, you know, looking at all of the shady shit brokers do, and maybe even act on that information now that it can't just delete it anymore. And if it has to do it, well, Oppenheimer & Co. and everyone else had damned well do it, too, or else.

Wall Street’s self-regulator ordered Oppenheimer & Co. to pay $3.75 million for allegedly failing to properly supervise a broker who the regulator says defrauded dozens of clients and who also duped the producers of a Broadway musical….

According to the regulator, Oppenheimer failed to adequately supervise Mr. Hotton’s trading despite the fact Oppenheimer’s surveillance analysts detected he was making unnecessary trades, a practice known as churning, in dozens of customer accounts. Oppenheimer also didn’t adequately investigate Mr. Hotton’s background before hiring him in late 2005, and neglected to tighten supervision of him after learning that his business partners had sued him for allegedly defrauding them, Finra said.

Oppenheimer Ordered to Pay $3.75 Million in Broker Fraud Case [WSJ]


FINRA Took Anthropology 101, Thinks There Might Be Something To It

The regulator is going to try and figure out "brokerage firm culture," and why said culture loves things like dwarf tossing, drug using, hooker hiring, etc.

FINRA Pulling Out All The Stops To Keep The Journal From Humiliating It Again

Moving forward, firms will actually be required to report brokers' liens and judgements.

Vera Kratochvil,

FINRA Is Doing A Whole Lot Less FINRAing These Days

The fines are down 70 percent, but the fun is way way up.