Adjudication & 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|
|May 31, 2002||C07010084||Hearing Panel Decision in Department of Enforcement v. Forrest G. Harris||Disciplinary Decision|
|May 21, 2002||C07010100||Order Denying Respondent's Motion to Strike Complainant's Pleadings and for Imposition of Sanctions||Disciplinary Order|
|May 15, 2002||CAF010021||Order Denying Motion to Sever||Disciplinary Order|
|May 14, 2002||C01010009||Order Deferring Decision On Complainant's Motion For Summary Disposition||Disciplinary Order|
|May 08, 2002||C10010145||Order Denying Respondent's Motion To Dismiss For Lack Of Jurisdiction||Disciplinary Order|
|May 06, 2002||C07010095||Hearing Panel Decision in Department of Enforcement v. Patrick H. Smith||Disciplinary Decision|
|May 06, 2002||CAF000015||Josephthal & Co. Inc.||Disciplinary Decision|
|May 03, 2002||CAF010009||Hearing Panel Decision in Department of Enforcement v. Dane Stephen Faber||Disciplinary Decision|
|April 29, 2002||C01010017||Order Pursuant To Conduct Rule 9143||Disciplinary Order|
|April 26, 2002||C10000037||George M. Goritz||Disciplinary Decision|
|April 23, 2002||CAF000027||Order Following Final Pre-Hearing Conference||Disciplinary Order|
|April 19, 2002||FPI010002||Hearing Panel Decision in Department of Enforcement v. Samuel Engelsberg||Expedited Decision, Rule 9540 Suspension Decisions|
|April 04, 2002||C02010041||Pre-Hearing Order||Disciplinary Order|
|April 03, 2002||C10000210||James Henry Bond, III||Disciplinary Decision|
|April 01, 2002||CMS000157||Hearing Panel Decision as to Respondent||Redacted Decision|
|March 27, 2002||C8A000059||Roger A. Hanson||Disciplinary Decision|
|March 26, 2002||C10010005||Jeffrey B. Hodde||Disciplinary Decision|
|March 25, 2002||C8A010063||Hearing Panel Decision in Department of Enforcement v. Bobby R. Turner, Jr.||Disciplinary Decision|
|March 24, 2002||FPI010004||Hearing Panel Decision in Department of Enforcement v. Toni Valentino||Expedited Decision, Rule 9540 Suspension Decisions|
|March 24, 2002||C05010033||Hearing Panel Decision in Department of Enforcement v. Michael G. Grimes||Disciplinary Decision|
|March 20, 2002||CAF000033||Dennis Sturm||Disciplinary Decision|
|March 20, 2002||C10000026||Damien R. Douglas||Disciplinary Decision|
|March 20, 2002||CAF000029||In the Matter of Department of Enforcement, Complainant v. Respondent 1||Disciplinary Decision, Redacted Decision|
|March 14, 2002||ARB010032||Non-Summary Suspension Proceeding ARB010032||Expedited Decision, Non-Summary Proceeding|
|March 04, 2002||C05010017||Hearing Panel Decision in Department of Enforcement v. James S. Davenport||Disciplinary Decision|