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|
|Nov 16, 2006||2005000316701||Order (1) Granting Complainant's Motion in Limine; (2) Denying Complainant's Motion to Sequester Witnesses, Without Prejudice; (3) Denying Respondents' Motions to Dismiss; (4) Denying Respondents' Motion to Strike; (5) Granting, in Part, Respondents' Motion To Preclude; (6) Denying, in Part, and Deferring, in Part, Respondents' Motion For Leave to Present Expert Testimony and (7) Denying Respondents' Motion for Leave to File a Compilation of Motions, Briefs and Rulings||Disciplinary Order|
|Nov 9, 2006||2005000316701||Order Denying Respondents' Request That the Deputy Chief Hearing Officer Not Exercise Authority Pursuant to Rule 9235(b)||Disciplinary Order|
|Dec 15, 2006||2005000315901||Hearing Panel Decision in Department of Enforcement v. Respondent||Redacted Decision|
|Apr 30, 2008||2005000191701||Hearing Panel Decision in Department of Market Regulation v. Paul M. Giarmoleo||Disciplinary Decision|
|Jun 12, 2007||2005000191701||Order Denying Respondent 3's Two Discovery Requests||Disciplinary Order|
|Sep 20, 2010||2005000171202||Hearing Panel Decision in Department of Market Regulation v. Respondent||Redacted Decision|
|Apr 24, 2007||2005000127502||Hearing Panel Decision in Department of Market Regulation v. Steven Richard Jaloza, Neal Anthony Impellizeri, and Michael Raymond Gimeli||Disciplinary Decision|
|Jul 28, 2009||2005000127502||Steven Richard Jaloza, Neal Anthony Impellizeri and Michael Raymond Gimeli||Disciplinary Decision|
|Oct 31, 2006||2005000127502||Order Following Final Pre-Hearing Conference Modifying Order Precluding Respondents from Introducing Evidence at the Hearing and Dismissing the Third Cause of Complaint||Disciplinary Order|
|Oct 20, 2006||2005000127502||Order Denying Complainant's Motion for Partial Summary Disposition||Disciplinary Order|
|Feb 13, 2007||2005000094001||Order Denying Respondents' Motion for Leave to Offer Expert Testimony||Disciplinary Order|
|May 25, 2007||2005000078501||Hearing Panel Decision in Department of Market Regulation v. Mark Allen Borsky||Disciplinary Decision|
|Mar 3, 2011||2005000075703||Midas Securities, LLC, World Trade Financial Corporation, Jason Troy Adams, Frank Edward Brickell, Jay S. Lee, and Rodney Preston Michel||Disciplinary Decision|
|May 12, 2009||2005000075703||Amended Extended Hearing Panel Decision in Department of Enforcement v. Midas Securities LLC, World Trade Financial Corporation, Jason Troy Adams, Frank Edward Brickell, Jay S. Lee and Rodney Preston Michel||Disciplinary Decision|
|Jun 13, 2007||20050000720-02||Order Prohibiting Use of Subpoenas||Disciplinary Order|
|Dec 11, 2007||20050000720-02||Hearing Panel Decision in Department of Enforcement v. Respondent||Redacted Decision|
|Jul 30, 2007||20050000720-02||Order Overruling the Parties' Objections to Exhibits and Witnesses||Disciplinary Order|
|Jun 26, 2007||20050000720-02||Order Denying Respondent 2's Motion to Compel Production of Documents and Directing Respondent 2 to Supplement His Motion for a Rule 9252 Order||Disciplinary Order|
|May 3, 2007||2005000029202||Initial Case-Management Order||Disciplinary Order|
|Mar 30, 2007||20042000056-01||Hearing Panel Decision in Department of Market Regulation v. Respondent||Redacted Decision|
|Oct 9, 2006||20042000056-01||Order Deferring Ruling on Motion for Summary Disposition||Disciplinary Order|
|May 28, 2010||200011592201||Order Denying Respondents' Motion for Leave to Offer Expert Testimony||Disciplinary Order|
|Dec 22, 2003||03-03||Hearing Panel Decision as to Respondent||Redacted Decision|
|Sep 8, 2003||03-02||Hearing Panel Decision as to Respondent||Redacted Decision|
|Aug 19, 2003||03-01||Hearing Panel Decision as to Respondent||Redacted Decision|