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|
|Feb 20, 2014||2009018076101||Blair Alexander West||Disciplinary Decision|
|Jul 18, 2014||2009019837302||APPEALED: Blair C. Mielke and Frederick W. Shultz||Disciplinary Decision|
|Aug 10, 2015||SD-MCDC-018 et al.||BMO Capital Markets GKST Inc., BNY Mellon Capital Markets, LLC, Dougherty & Company LLC, George K. Baum & Company, Hutchinson, Shockey, Erley & Co.||Statutory Disqualification, Approvals|
|Mar 24, 2016||SD-MCDC-053 et al||Boenning & Scattergood, Inc., First Midstate, Inc., Mitsubishi UFJ Securities (USA), Inc., Municipal Capital Markets Group, Inc., Roosevelt & Cross, Inc.||Statutory Disqualification, Approvals|
|Dec 15, 2003||C8A020014||Brad A. Roethlisberger||Disciplinary Decision|
|Dec 14, 1999||C04990005||Bradford Lee Brinton||Disciplinary Decision|
|Sep 29, 2015||SD-2029||Bret M. Shapiro with Dawson James Securities, Inc.||Statutory Disqualification, Denials|
|Aug 11, 2003||FPI020002||Bret Steinhart||Disciplinary Decision|
|Mar 23, 2016||2010024522103||APPEALED: Brett Ian Friedberg||Disciplinary Decision|
|Jan 13, 1999||C9B960032||Brian D. Angiuli||Disciplinary Decision|
|Dec 16, 2008||E9A2004048801||Brian J. Kelly||Disciplinary Decision|
|Nov 20, 1997||C9A960030||Brian L. Shegon||Disciplinary Decision|
|Jun 30, 2015||2012033128703||APPEALED: Brian Michael White||Disciplinary Decision|
|Jul 8, 1999||C3A960033||Brian Prendergast||Disciplinary Decision|
|May 4, 2015||2009016159111||Brian Sanders||Disciplinary Decision|
|Aug 9, 2004||C01020025||Brookes McIntosh Bendetsen||Disciplinary Decision|
|Aug 16, 2004||C01020025||Brookes McIntosh Bendetsen||Disciplinary Decision|
|Apr 16, 2015||2007011413501||APPEALED: Brookstone Securities, Inc., Antony Lee Turbeville, Christopher Dean Kline and David William Locy||Disciplinary Decision|
|Jan 7, 1998||C8A960029||Bruce L. Pecaro||Disciplinary Decision|
|May 9, 2016||SD-2069||APPEALED: Bruce Meyers with Meyers Associates, L.P.||Statutory Disqualification, Denials|
|Oct 2, 2017||SD-2129||APPEALED: Bruce Zipper||Disciplinary Decision|
|Sep 28, 2007||200500631501||Bryan L. Claggett||Disciplinary Decision|
|Sep 6, 2017||2014040476901||APPEALED: C.L. King and Gregg Alan Miller||Disciplinary Decision|
|Dec 2, 2014||2012030570301||Calvin B. Grigsby||Disciplinary Decision|
|Apr 22, 2015||SD-1962||Candace J. Lee with Financial Services International Corp||Statutory Disqualification, Approvals|