Adjudication and Decisions
When FINRA determines that violations of securities rules have occurred and formal disciplinary action is necessary, the Enforcement Department or Market Regulation Department files a complaint with the Office of Hearing Officers (OHO).
The Office arranges a three-person panel to hear the case. The panel is chaired by a hearing officer who is an employee of the Office of Hearing Officers. The Chief Hearing Officer appoints two industry panelists, drawn primarily from a pool of current and former securities industry members of FINRA's District Committees, as well as its Market Regulation Committee, former members of FINRA's National Adjudicatory Council (NAC) and former FINRA Governors.
At the hearing, the parties present evidence for the panel to determine whether a firm or individual has engaged in conduct that violates FINRA rules, SEC regulations or federal securities laws. In reaching its decision, the hearing panel also considers previous court, SEC, and NAC decisions to determine if violations occurred. The NAC is the national committee which reviews initial decisions rendered in FINRA disciplinary and membership proceedings.
For each case, the hearing panel will issue a written decision explaining the reasons for its ruling and consult the FINRA Sanction Guidelines to determine the appropriate sanctions if violations have occurred. FINRA also, when feasible and appropriate, can order firms and individuals to make restitution to harmed customers.
Under FINRA's disciplinary procedures, a firm or individual has the right to appeal a hearing panel decision to the NAC, or the NAC may on its own initiate a review of a decision. On appeal, the NAC will determine if a hearing panel's findings were legally correct, factually supported and consistent with FINRA's Sanction Guidelines. While a panel decision is on appeal, the sanction is not enforced against the firm or individual.
Unless FINRA's Board of Governors decides to review the NAC's appellate decision, that decision represents FINRA's final action. A firm or individual can appeal FINRA's decision to the SEC and then to federal court.
|Date of Decision||Proceeding No.||Title||Type|
|Jul 25, 2016||FR160001||Merriman Capital Inc.||Expedited Decision|
|Jul 28, 2016||2013035817701||Protective Order Governing Personal Confidential Information||Disciplinary Order|
|Jul 28, 2016||20120342425-01||Order Concerning Parties’ Motion for Leave to Present Expert Testimony||Disciplinary Order|
|Aug 2, 2016||FPI160006||Dawn Bennett||Expedited Decision|
|Aug 3, 2016||2011025851501||APPEALED: KCD Financial, Inc.||Disciplinary Decision|
|Aug 4, 2016||FPI160002||Robert DePalo||Expedited Decision|
|Aug 5, 2016||ARB160012||Fairbridge Capital Markets||Expedited Decision|
|Aug 12, 2016||2013039639101||Ronald Leslie Geffner||Disciplinary Decision|
|Aug 15, 2016||2013038986001||Order Rejecting Offer of Settlement||Disciplinary Order|
|Aug 16, 2016||2014039173301||Case Management and Scheduling Order||Disciplinary Order|
|Aug 23, 2016||2011025675501||APPEALED: Kimberly Springsteen-Abbott||Disciplinary Decision|
|Aug 24, 2016||2014043020901||Order Granting Joint Motion to Permit Witnesses to Have Counsel Present During Testimony||Disciplinary Order|
|Aug 24, 2016||20100226911-02||Bharminder Singh||Disciplinary Decision|
|Aug 29, 2016||ARB160009||Christopher John Gimblet||Expedited Decision|
|Aug 30, 2016||2014043020901||Order Granting Enforcement’s Motion for Exception From Sequestration.||Disciplinary Order|
|Aug 31, 2016||20140425550-02||Modesto Biney||Disciplinary Decision|
|Sep 7, 2016||2013038986001||Order Denying Respondent’s Motion to Continue Hearing||Disciplinary Order|
|Sep 8, 2016||SD-2048||Citigroup Global Markets Inc.||Statutory Disqualification|
|Sep 13, 2016||2012033105901||Order Granting Department of Enforcement’s Motion to Strike Affirmative Defense.||Disciplinary Order|
|Sep 20, 2016||2015044960501||APPEALED: Avenir Financial Group, Michael Todd Clements, and Karim Ahmed Ibrahim||Disciplinary Decision|
|Oct 3, 2016||2012032519101||Robert Earl Holaday||Disciplinary Decision|
|Oct 5, 2016||FPI160009||Donald Shelby Toomer||Expedited Decision|
|Oct 11, 2016||2009020941801||APPEALED: Lek Securities Corporation||Disciplinary Decision|
|Oct 11, 2016||2015044379701||Melissa M. Velasquez||Disciplinary Decision|
|Oct 14, 2016||201303641201||Order Granting in Part and Denying in Part Enforcement’s Motion for Partial Summary Disposition||Disciplinary Order|