Regulatory Notice 09-29

FINRA Requests Comment on Proposed FINRA Rule Addressing the Origination and Circulation of Rumors; Comment Period Expired: July 16, 2009

Executive Summary

As part of the process of developing a new, consolidated rulebook (the Consolidated FINRA Rulebook), FINRA is requesting comment on proposed FINRA Rule 2030 relating to the origination and circulation of rumors. FINRA initially sought comment on the proposed rule, which is based on FINRA Rule 6140 and Incorporated NYSE Rule 435(5), in Regulatory Notice 08-68. In response to the comments received, FINRA is proposing substantial changes to proposed FINRA Rule 2030. The proposed changes include amendments to the general prohibition in Rule 2030 and the proposed reporting requirement, as well as adopting Supplementary Material to Rule 2030 that will address exceptions for certain communications, the definition of the term "rumor," additional rules of which member firms should be aware, and a firm's obligation to adopt written policies and procedures concerning rumors. FINRA is requesting comment on the proposed revisions to Rule 2030.

 

The text of the proposed rule is set forth in Attachment A.

 

Questions concerning this Notice should be directed to Brant Brown, Associate General Counsel, Office of General Counsel, at (202) 728-6927.

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The views, expressions, findings and opinions expressed in the comments on this Web page are solely those of the author(s) and FINRA accepts no responsibility for the content of the comments.


Comments By Date Received
Buell Securities Corp. (PDF 27 KB) 6/4/2009
Johns S. Chapman & Associates, LLC (PDF 29 KB) 6/4/2009
The Vanderbilt Plaza (PDF 28 KB) 6/25/2009
National Planning Holdings, Inc. (PDF 34 KB) 7/9/2009
NSCP (PDF 55 KB) 7/14/2009
SIFMA (PDF 33 KB) 7/16/2009
Taurus Compliance Consulting, LLC (PDF 1045 KB) 7/17/2009
Fairfax Financial Holdings Limited (PDF 1270 KB) 7/20/2009