Archive

Georgia Court Ruling Diminishes Protocol Protections for Brokers

Ever since it was implemented, brokers have relied on the Protocol for Broker Recruiting to be able to take some of their clients with them when they leave a firm, but a recent ruling by a state court in Georgia might jeopardize the Protocol’s protections. The Appeals court’s…
read more

Massachusetts Watchdog Targets Broker-Dealers’ Inadequate Oversight of Private Placements

The head of Massachusetts’ state securities regulatory body, Secretary of the Commonwealth William F. Galvin, issued a public statement announcing an inquiry into the practices of some of the top local broker-dealers related to private placement investments. These funding rounds of securities, which are not sold through a…
read more

FINRA Regulatory Notice Encourages Members to Disclose Participation in Any Cryptocurrency-related Activities

FINRA has announced it will increase its scrutiny of the cryptocurrency market. As several regulatory bodies endeavor to establish their jurisdiction over the crypto space, FINRA will now boost its oversight of registered firms’ participation in its burgeoning market. In a new regulatory notice, the self-regulatory organization asked…
read more

WELLS FARGO Will Pay $480 Million to Settle Fraud & Insider Trading Class Action Brought by Shareholders

Wells Fargo will pay $480 million to resolve fraud and insider trading allegations brought in a class action in California. According to the plaintiffs, top executives at the bank engaged in insider trading after employees were directed to create millions of accounts under customer names, without the customers’…
read more

California Attorney Found Guilty in Pump-and-Dump Scheme Case Involving Greenway Technology and Crown Marketing

Jehu Hand, a California-based attorney has been found guilty of securities fraud and is now awaiting sentencing. Following his trial, which took place in Boston, the defendant could be facing  up to eight years in prison. The federal jury found that Hand conspired with his two brothers to…
read more

Merrill Lynch FAs Will Experience Pay Cuts Unless They Meet Certain Targets

As Merrill Lynch brokers appear to lag behind their competitors at Morgan Stanley, some FAs at the firm are probably not looking forward to seeing their paychecks this summer season. Based on Merrill’s new compensation program, FAs who do not hit specific targets are going to endure punishment…
read more