This post was also written by Kiran Somashekara.
The Financial Industry Regulatory Authority’s (FINRA’s) National Adjudicatory Council (NAC) released updated Sanction Guidelines on May 12, 2015, for use in adjudicating disciplinary proceedings involving FINRA member firms and associated brokers. The updated Sanction Guidelines provide for tougher sanctions for violations of FINRA rules. FINRA explained that the Guidelines “harmonize the Sanction Guidelines with the current state of the cases in this area,” but are not meant to prescribe fixed sanctions for particular rule violations. The updated Sanction Guidelines are immediately effective and applicable to all disciplinary matters as well as ongoing investigations and negotiations with FINRA’s Enforcement Department.
Click here to read the full issued Client Alert.