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. Titlesort descending Type
May 3, 2018 2014039775501 Order Granting Enforcement’s Motion Regarding Sequestration of Witnesses Disciplinary Order
Nov 9, 2012 2010020846601 Order Granting Enforcement’s Motion to Offer Expert Testimony and Respondent’s Motion to Allow Expert Testimony Disciplinary Order
Jan 28, 2011 2008014621701 Order Granting Enforcement’s Motion to Permit Certain Witnesses to Have Counsel Present Disciplinary Order
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
Jul 7, 2004 C8A030100 Order Granting in Part and Deferring in Part Complainant's Motion for Summary Disposition, and Denying Respondents' Motion for Summary Disposition Disciplinary Order
Apr 3, 2003 C3B020015 Order Granting in Part and Denying in Part Complainant's Motion for Summary Disposition Disciplinary Order
Oct 16, 2007 2005001919501 Order Granting in Part and Denying in Part Complainant's Motion for Summary Disposition and Denying Respondent's Motion for Summary Disposition Disciplinary Order
Aug 4, 1998 CAF970011 Order Granting in Part and Denying in Part Complainant's Motion in Limine Disciplinary Order
Jul 7, 1999 C8A990015 Order Granting in Part and Denying in Part Complainant's Motion to Strike Affirmative Defenses Disciplinary Order
Dec 22, 2015 2014040968501 Order Granting in Part and Denying in Part Enforcement's Motion in Limine to Preclude the Respondent from Introducing Testimony and Evidence at the Hearing Disciplinary Order
Oct 14, 2016 201303641201 Order Granting in Part and Denying in Part Enforcement’s Motion for Partial Summary Disposition Disciplinary Order
Apr 2, 2015 2013036217601 Order Granting In Part and Denying In Part Enforcement’s Motion for Partial Summary Disposition Disciplinary Order
Feb 13, 2015 2013036217601 Order Granting in Part and Denying in Part Enforcement’s Motion to Compel Respondent’s Compliance with a Post-Complaint Rule 8210 Request for Testimony Disciplinary Order
Apr 24, 2018 2014041860801 Order Granting in Part and Denying in Part Renewed Motion to Compel. Disciplinary Order
May 21, 2003 CAF030007 Order Granting in Part and Denying in Part Respondent's Motion for More Definite Statement Disciplinary Order
Mar 30, 2003 C3B020015 Order Granting in Part and Denying in Part Respondents' Motion to Compel Discovery Disciplinary Order
Apr 21, 2017 2012032019101 Order Granting in Part and Denying in Part Respondents’ Motion Pursuant to FINRA Rules 8210 and 9252. Disciplinary Order
Feb 3, 2016 2012033393401 Order Granting in Part and Denying in Part Respondent’s Motion in Limine to Exclude the Testimony of KA, BS, and MC. Disciplinary Order
Oct 23, 2012 2011026664301 Order Granting in Part and Denying in Part the Department of Enforcement’s Motion to Strike the Answer and Order the Filing of a New Answer Disciplinary Order
Dec 15, 1997 CMS970028 Order Granting in Part Complainant's Motion to Exclude Witnesses and Amend Exhibit List Disciplinary Order
Oct 31, 2018 2016050025401 Order Granting in Part Enforcement’s Pre-Hearing Motion Disciplinary Order
Mar 10, 1998 C05970035 Order Granting in Part Motion of Complainant to Exclude Respondents' Expert Witness and Certain Other Witnesses Disciplinary Order
Oct 26, 2003 CAF030011 Order Granting in Part Respondent 1 and Respondent 2's Motion for Production of Documents Under Rule 9251(a)(3) Disciplinary Order
Apr 4, 2000 C0500006 Order Granting in Part Respondent Motion for More Definite Statement Disciplinary Order
Apr 11, 2007 CAF040079 Order Granting in Part Respondent's Motion to Exceed Time Limits for Specific Witnesses and Denying Motion for Reconsideration of Total Number of Witnesses to Be Called Disciplinary Order

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