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
Sep 28, 2012 2008012925001 Extended Hearing Panel Decision in Department of Enforcement v. The Dratel Group, Inc. and William M. Dratel Disciplinary Decision
Nov 8, 2011 2008014621701 Extended Hearing Panel Decision in Department of Enforcement v. Thomas Weisel Partners, LLC and Stephen H. Brinck, Jr. Disciplinary Decision
Aug 2, 2012 20070094044 Extended Hearing Panel Decision in Department of Enforcement v. Wedbush Securities Inc. and Edward W. Wedbush Disciplinary Decision
May 30, 2013 2010024889501 Extended Hearing Panel Decision in Department of Enforcement v. William B. Fretz, Jr., John P. Freeman, and The Keystone Equities Group, LP Disciplinary Decision
May 6, 2010 2005003610701 Extended Hearing Panel Decision in Department of Enforcement v. William J. Murphy, Carl M. Birkelbach, and Respondent Firm Disciplinary Decision
Oct 7, 2013 20080150419 Extended Hearing Panel Decision in Department of Market Regulation v. Respondent Redacted Decision
Jan 25, 2013 2009017798902 Extended Hearing Panel Decision in Depatment of Enforcement v. Respondent 1 and Respondent 2 Redacted Decision
Aug 5, 2016 ARB160012 Fairbridge Capital Markets Expedited Decision
Jul 11, 2016 FPI160004 Fairbridge Capital Markets Expedited Decision
Jul 30, 2010 2007010306901 FCS Securities and Dale Kleinser Disciplinary Decision
Nov 15, 1997 C07970055 Final Pre-hearing Conference Order Disciplinary Order
Mar 10, 1998 CMS970026 Final Pre-Hearing Conference Order, Order Granting Respondents' Motion to Adjourn the March 17, 1998 Hearing, Order Rejecting Respondents' Contested Offer of Settlement, and Order Denying the Department of Enforcement's Motion for Partial Summary Disposition Disciplinary Order
Aug 10, 2015 SD-MCDC-022 et al. First National Capital Markets, Inc., L.J. Hart and Company, Inc., Loop Capital Markets LLC, Martin Nelson & Co., Inc., Siebert, Brandford, Shank & Co., LLC, Smith Hayes Financial Services Corporation, Wells Nelson & Associates, LLC Statutory Disqualification, Approvals
Aug 5, 1997 C10950101 Forbes, Walsh, Kelly & Co., Inc., & Robert E. Kelly Disciplinary Decision
Feb 24, 2005 C3A030017 Fox & Company Investments, Inc. and James W. Moldermaker Disciplinary Decision
Mar 9, 2015 2012030724101 APPEALED: Fox Financial Management Corporation, Brian A. Murphy, and James E. Rooney, Jr. Disciplinary Decision
Jan 6, 2017 2012030724101 Fox Financial Management Corporation, Brian A. Murphy, James E. Rooney, Jr. Disciplinary Decision
May 25, 2018 SD-2189 Francis D. Moise, Sr., with First Western Securities, Inc. Statutory Disqualification, Approvals
Feb 9, 1999 C06950029 Frank J. Ingersoll Disciplinary Decision
Nov 13, 2003 CAF000013 Frank J. Skelly, III and Craig H. Gross Disciplinary Decision
Nov 22, 2004 CAF030008 Frank Peter Quattrone Disciplinary Decision
Jan 3, 2002 C07000033 Franklyn Ross Michelin & L.H. Ross & Co., Inc. Disciplinary Decision
Sep 25, 2015 2012034211301 APPEALED: Fuad Ahmed Disciplinary Decision
Feb 26, 2015 SD-2024 G-Trade Services LLC Statutory Disqualification, Approvals
Mar 13, 2018 SD-2137 APPEALED: Gabriel Block Statutory Disqualification, Denials