Proceeding Number 2007007151101

Hearing Panel Decision in Department of Enforcement v. Merrimac Corporate Securities, Inc.

December 8, 2010

For violating NASD Rules 1017 and 2110 by engaging in types of business not authorized by its NASD membership agreement, Respondent is fined $5,000.  For failing to establish and maintain adequate written supervisory procedures for sales of certain types of securities, in violation of NASD Rules 3010 and 2110, Respondent is fined $2,500.  For willfully failing to maintain adequate books and records with respect to communications by e-mail, in violation of Section 17(a) of the Securities Exchange Act of 1934, Exchange Act Rule 17a-4, NASD Rule 3110, and NASD Rule 2110, Respondent is fined $10,000.  For willfully failing to make and keep current purchase and sale blotters for its direct application mutual fund and variable annuity businesses, in violation of Section 17(a) of the Exchange Act, Exchange Act Rules 17a-3 and 17a-4, NASD Rule 3110, and NASD Rule 2110, Respondent is fined $1,000.

 

This decision has been appealed.

View Decision (PDF 188 KB)