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.

Appeals Process

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 Decisionsort ascending Proceeding No. Title Type
Jun 12, 2017 DFC170003 Order Dismissing Request for Hearing Expedited Order
Jun 2, 2017 2014039091903 Richard Lim Disciplinary Decision
May 30, 2017 2014039839101 APPEALED: Jim Jinkook Seol Disciplinary Decision
May 26, 2017 2011027666902 APPEALED: Merrimac Corporate Securities, Inc., and Robert G. Nash Disciplinary Decision
May 26, 2017 2014040295201 Carolina Financial Securities, LLC, and Bruce Victor Roberts Disciplinary Decision
May 17, 2017 2012035284301 APPEALED: Richard A. McCollam Disciplinary Decision
May 16, 2017 SD-2103 Marc N. Jaffe as a General Securities Representative with Integrity Brokerage Services, Inc. Statutory Disqualification, Denials
May 12, 2017 2012034936101 Jeffrey D. Noard Disciplinary Decision
May 12, 2017 2013035130101 APPEALED: Cantone Research, Inc., Anthony Cantone, and Christine Cantone Disciplinary Decision
May 3, 2017 2014043001601 APPEALED: Allen B. Holeman Disciplinary Decision
Apr 21, 2017 2012032019101 Order Granting in Part and Denying in Part Respondents’ Motion Pursuant to FINRA Rules 8210 and 9252. Disciplinary Order
Apr 11, 2017 2014042524301 Order Regarding Respondent’s Interrogatories, Requests for Production of Documents, and Requests for Admissions Disciplinary Order
Apr 11, 2017 2014044985401 Order Granting Respondent’s Request for an Order of Production. Disciplinary Order
Apr 7, 2017 2015045601401 Katherine Ann White Disciplinary Decision
Apr 7, 2017 2012035284301 Order Granting Enforcement’s Motion to Strike Respondent’s Post-Hearing Affidavit and Exhibits and Ordering Respondent to Resubmit Post-Hearing Brief. Disciplinary Order
Mar 23, 2017 2014040968501 APPEALED: Ahmed Gadelkareem Disciplinary Decision
Mar 21, 2017 2014038847602 Order Denying Motion to Quash and Requiring Respondent to Respond to Rule 8210 Requests No Later Than March 31, 2017. Disciplinary Order
Mar 21, 2017 2014038847602 Order Denying Respondent’s Motion to Compel Discovery. Disciplinary Order
Mar 21, 2017 2013035817701 Order 1) Granting Enforcement’s Motion For Leave to Permit Expert Testimony and 2) Amending Case Management and Scheduling Order Regarding Filing Exhibits. Disciplinary Order
Mar 21, 2017 2013035865303 APPEALED: Spencer Edwards, Inc. and Gordon Dihle Disciplinary Decision
Mar 17, 2017 2011029549201 Craig G. Langweiler Disciplinary Decision
Mar 16, 2017 ARB160047 J. Thaddeus McGaffey Expedited Decision
Mar 16, 2017 201504421601 Order Denying Respondent’s Motion for Leave to Present Expert Testimony Disciplinary Order
Mar 16, 2017 2013035211801 APPEALED: David Adam Elgart Disciplinary Decision
Mar 15, 2017 2011025444501 Wood (Arthur W.) Company, Inc. Disciplinary Decision

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