Author Archives: FLSecurities
FINRA FINES BARCLAYS CAPITAL $3 MILLION FOR MISREPRESENTATIONS MADE ON ITS WEBSITE REGARDING RESIDENTIAL MORTGAGE SECURITIZATIONS
The Financial Industry Regulatory Authority (FINRA) has fined Barclays Capital $3 Million for misrepresentations it made regarding historical delinquency data in connection with the issuance of residential subprime mortgage securitizations (RMBS) and its failure to adequately supervise the maintenance and updating of relevant disclosures on its website. Issuers of RMBS must disclose the historical… Read More »
FINRA FINES CREDIT SUISSE SECURITIES $1.75 MILLION FOR REGULATORY VIOLATIONS AND SUPERVISORY FAILURES RELATING TO SHORT SALE TRANSACTIONS
The Financial Industry Regulatory Authority (FINRA) has fined Credit Suisse Securities $1.75 Million for violation of Regulation SHO and its failure to adequately supervise its brokers regarding short sale transactions. A short sale involves the sale of a security the seller does not presently own. When delivery of the security is required, the seller… Read More »
2012 Expected To Be A Seller’s Market For Variable Annuities
Investor demand for variable annuities has grown as a result of significant market downturns. In the third quarter, net sales of variable annuities reached a record $8.8 billion with $2.27 billion in sales by Raymond James Financial Services, Inc. alone. Many investors looking for a steady stream of retirement income have turned to variable… Read More »
Wells Fargo Fined $2M For Selling Unsuitable Reverse Convertible Securities To Seniors
The Financial Industry Regulatory Authority (FINRA) announced that is has fined Wells Fargo Investments, LLC (Wells Fargo) $2 million related to the sales of unsuitable reverse convertible notes to elderly customers. The sales were made by one of Wells Fargo’s former brokers to 21 customers, most of whom were in their 80’s and 90’s…. Read More »
Wells Fargo to Pay $148M To Settle Bid-Rigging Case
Wells Fargo & Co. has agreed to pay $148 million to settle charges against Wachovia Bank, which Wells Fargo acquired in 2008. The charges stem from investigations by the Securities and Exchange Commission, the Justice Department and 26 states’ attorneys general into how several banks rigged purportedly competitive auctions in order to receive excessive… Read More »
FELTL & COMPANY AND OMNI INVESTMENT ADVISORS SETTLE WITH SEC REGARDING COMPLIANCE FAILURES
The Securities and Exchange Commission (SEC) announced the settlement of separate complaints related to compliance failures by Feltl & Company, Inc. (Feltl) and Omni Investment Advisors, Inc. (Omni). Omni’s former chief compliance officer, Gary R. Beynon was also named in the SEC’s complaint. Firms are required by law to have written compliance policies and… Read More »
Next Financial Group to Pay $2M in Restitution in Connection With Provident Royalties Private Placements
Next Financial Group, Inc. (Next) submitted a Letter of Acceptance, Waiver and Consent (AWC) to settle claims by the Financial Industry Regulatory Authority (FINRA) that Next’s due diligence was lacking in connection with its sale of more than $20 million of Provident Royalties, LLC private placements. In 2009, the Securities and Exchange Commission (SEC)… Read More »
$285 Million Settlement Between Citigroup and the SEC Struck Down
A federal judge in New York struck down a settlement previously agreed to between the Securities and Exchange Commission (SEC) and Citigroup. In his ruling, U.S. District Judge Jed Rakoff cited the public’s need for clarity about the financial markets. The settlement stemmed from the SEC’s allegations that Citigroup misled investors about a complex… Read More »
Former Schwab YieldPlus Executive Agrees to Pay $150,000 Penalty to Settle SEC Charges
The U.S. Securities and Exchange Commission (SEC) announced that Randall Merk (Merk), former Executive Vice President of Charles Schwab & Co., Inc. and President of Charles Schwab Investment Management, has agreed to pay a $150,000 fine to settle charges brought against him in connection with Schwab’s YieldPlus Fund. The SEC’s complaint filed in January… Read More »
Law Firm Sued by Former NFL Players
The Daily Business Review reported that separate lawsuits have been filed in Broward, Miami-Dade and Palm Beach counties by former NFL players Terrell Owens, Clinton Portis and Duane Starks against the law firm Greenberg Traurig and one of its West Palm Beach shareholders, Pamela Linden. According to the Daily Business Review, the players claim… Read More »