Proceeding Number 2005003188901

Amended Hearing Panel Decision in Department of Enforcement v. Richard G. Cody

January 29, 2009

Respondent violated Rules 2310 and 2110 by recommending transactions in customer accounts that were quantitatively and qualitatively unsuitable for the customers; violated Rule 2110 by sending customers misleading and unapproved account summaries; and also violated Rule 2110 by failing to update his Form U4 in a timely manner to disclose two settlements with customers. For the suitability violations, Respondent is suspended in all capacities for three months and fined $20,000; for the misleading and unapproved account summaries, Respondent is fined $5,000; and for the Form U4 violation, Respondent is fined $2,500. The charge that Respondent violated Rule 2110 by failing to update his Form U4 to disclose a compromise with creditors is dismissed.

 

This decision has been appealed.

View Decision (PDF 84 KB)