Proceeding Number 20070082049
Hearing Panel Decision in Department of Market Regulation v. Robert Marcus Lane and Jeffrey Griffin Lane
July 2, 2012
Respondent Robert Marcus Lane interpositioned separate entities he owned between customers of his FINRA member firm and the contemporaneous market, resulting in unfair and excessive markups which he failed to disclose to the customers. In so doing, he violated NASD Rules 2110, 2120, 2320(b), 2440, and IM-2440 and willfully violated Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5. Respondent Jeffrey Griffin Lane violated NASD Rules 3010 and 2110 by failing to establish and maintain reasonable written supervisory procedures regarding markups and failing to supervise Marcus Lane’s activities. Both Jeffrey Lane and Marcus Lane violated FINRA Rules 8210
and 2010 by failing to provide timely responses to requests for information and documents pursuant to FINRA Rule 8210.
Marcus Lane is barred from associating with a FINRA member firm in any capacity for the violations relating to the interpositioning scheme and excessive markups. Jeffrey Lane is similarly barred for his supervisory failures. Both Respondents are ordered, jointly and severally, to pay restitution in the total amount of $317,030.70 to the two identified customers injured by their misconduct. Both Respondents also are barred for their failure to provide information and documents requested pursuant to FINRA Rule 8210.
This decision has been appealed.
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