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 Decision Proceeding No.sort descending Title Type
Dec 28, 2011 2007009403801 Stephen W. Wilson Disciplinary Decision
Aug 2, 2012 20070094044 Extended Hearing Panel Decision in Department of Enforcement v. Wedbush Securities Inc. and Edward W. Wedbush Disciplinary Decision
Dec 11, 2014 20070094044 APPEALED: Wedbush Securities, Inc. and Edward William Wedbush Disciplinary Decision
Oct 1, 2009 20070094253 Hearing Panel Decision in Department of Enforcement v. Richard J. Iavecchia Disciplinary Decision
Dec 6, 2008 20070094345 John E. Mullins and Kathleen M. Mullins Disciplinary Decision
Jun 12, 2008 20070094345 and 20070111775 Order Denying Respondent 2's Motion to Dismiss Disciplinary Order
Aug 25, 2009 20070094345, 20070111775 Hearing Panel Decision in Department of Enforcement v. John Edward Mullins and Kathleen Maria Mullins Disciplinary Decision
Feb 24, 2011 20070094345,20070111775 John E. Mullins and Kathleen M. Mullins Disciplinary Decision
Oct 31, 2008 20070094454 Hearing Panel Decision in Department of Enforcement v. Sam Aubrey Foreman, Jr. Disciplinary Decision
May 21, 2010 20070094468 Amended Hearing Panel Decision in Department of Enforcement v. Dirk Allen Taylor Disciplinary Decision
Aug 5, 2011 20070094468 Dirk Allen Taylor Disciplinary Decision
Oct 8, 2010 2007009461301 Extended Hearing Panel Decision in Department of Enforcement v. Respondent Redacted Decision
Oct 14, 2009 2007009461301 Order Denying Respondent's Motion to Compel Production of Witness Statements Disciplinary Order
Dec 30, 2009 2007009472201 Hearing Panel Decision in Department of Enforcement v. Warren William Wall Disciplinary Decision
Nov 13, 2008 2007009702901 Hearing Panel Decision in Department of Enforcement v. Edward D. Crary, Jr. Disciplinary Decision
Dec 1, 2009 2007009848801 Hearing Panel Decision in Department of Enforcement v. Dante J. DiFrancesco Disciplinary Decision
Dec 17, 2010 2007009848801 Dante J. DiFrancesco Disciplinary Decision
May 10, 2010 2007009981201 Hearing Panel Decision in Department of Enforcement v. Robert D. Tucker Disciplinary Decision
Oct 4, 2011 2007009981201 Robert D. Tucker Disciplinary Decision
Feb 26, 2013 2007010158001 CapWest Securities, Inc.: Appealed Disciplinary Decision
Dec 19, 2011 2007010158001 Hearing Panel Decision in Department of Enforcement v. CapWest Securities Inc. Disciplinary Decision
Apr 27, 2009 2007010236401 Hearing Panel Decision in Department of Enforcement v. Valerie Elaine King Disciplinary Decision
May 13, 2009 2007010306901 Hearing Panel Decision in Department of Enforcement v. FCS Securities and Respondent 2 Disciplinary Decision
Jul 30, 2010 2007010306901 FCS Securities and Dale Kleinser Disciplinary Decision
Jun 8, 2011 2007010398802 Order on Enforcement’s Objections to Respondent’s Proposed Exhibit List and Motion In Limine in Part Disciplinary Order

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