(FINRA publishes a quarterly review to provide firms with a sampling of recent disciplinary actions involving misconduct by registered representatives. This sample includes settled matters and decisions in litigated cases (National Adjudicatory Council (NAC) decisions and SEC decisions in FINRA cases). These summaries call attention to, and remind registered representatives and member firms of, specific […]

The Financial Industry Regulatory Authority (FINRA) has fined Guggenheim Securities, LLC, of New York, $800,000 for failing to supervise two collateralized debt obligation (CDO) traders who engaged in activities to hide a trading loss writes the editor of the Corporate Crime Reporter in a recent article. Also, Alexander Rekeda, the former head of Guggenheim’s CDO […]

It's not just the rich or famous anymore. Many scam artists prey on people from all ages and walks of life, often targeting those they already know - perhaps they attend the same church or knitting club - in so-called "affinity fraud," writes Carolyn Said of the Houston Chronicle in a recent article. Victim advocacy […]

The Securities and Exchange Commission (SEC) is looking into the VelocityShares 2x Long VIX Short Term Exchange Note, managed by Credit Suisse Group AG, which had about $700 million in assets before the decline, according to an article in the Wall Street Journal. The Massachusetts’s securities regulator and the U.S. Securities and Exchange Commission (SEC) […]

In a recent Reuters article, they write that FINRA, or The Financial Industry Regulatory Authority, is examining major brokerages regarding potential conflicts of interest and financial incentives associated with the sale of complex securities, said the Wall Street regulator's chief. Richard Ketchum, FINRA's chairman and chief executive, said that FINRA is looking "very closely" at […]

In a recent MoneyWatch article, Steve Vernon writes that investment fraud and financial abuse targeting the elderly is a major problem today, according to a recent survey by the Investor Protection Trust and Investor Protection Institute. The top three ways in which seniors are exploited are: Theft of diversion of funds or property by caregivers […]

The following article appeared October 4th., 2012, in The Patriot Ledger, and was written by Steve Adams. "Financial Company on the Hook for Quincy Scammer" By Steve Adams The Patriot Ledger Posted Oct 04, 2012 @ 06:06 AM QUINCY — A couple who lost $255,000 to a Quincy financial adviser’s investment scam will receive a […]

Broker-dealers' falling short in due diligence when selling complex, illiquid products has been a focus of FINRA examinations and fines since the market collapse of 2008, writes Bruce Kelly of InvestmentNews.com. FINRA recently fined and sanctioned a handful of broker-dealers that sold two series of private placements that imploded in 2009 — Medical Capital Holdings […]

FINRA Case Number 11-01278, awards $158,250.00 to the defrauded Claimants for the alleged supervisory failures of Harvest Capital, LLC, of Gregg Rennie and his branch office. Rennie is now serving a prison sentence for selling fictitious notes to investors. Since early 2007, Gregg Rennie, the popular radio host and financial advisor, defrauded numerous clients approximately […]