Protecting Investors From Misconduct - Rule 4111 - List of Expelled Firms

Rule 4111 Compliance Tool – Lists of Expelled Firms

FINRA Rule 4111 (Restricted Firm Obligations) requires member firms that are identified as Restricted Firms to deposit cash or qualified securities in a segregated, restricted account; adhere to specified conditions or restrictions; or comply with a combination of such obligations. Rule 4111 establishes a multi-step, annual process through which FINRA will determine whether a member firm raises investor protection concerns substantial enough to require that it be designated (or re-designated) as a Restricted Firm and subject to additional obligations, including a Restricted Deposit Requirement.1 Each year’s process will begin with a calculation of which firms meet numeric thresholds based on firm-level and individual-level disclosure events to identify member firms with a significantly higher level of risk-related disclosures as compared to similarly sized peers.2  

One of the metrics that is relevant to this annual calculation is the Expelled Firm Association Metric.3 This metric is impacted by the number of Registered Persons Associated with Previously Expelled Firms, which is defined to mean any Registered Person In-Scope who was registered for at least one year with a previously expelled firm and whose registration with the previously expelled firm terminated during the Evaluation Period.4 The Evaluation Period, for this purpose, means the prior five years from the Evaluation Date.5    

To assist firms in understanding Rule 4111—and, in particular, the Expelled Firm Association Metric—below are lists of firms that were expelled within the prior five years from the specified Evaluation Dates. These lists are updated as needed to add new expelled firms. This page also will be updated, as appropriate, to add lists relating to future Evaluation Dates and to remove lists relating to past Evaluation Dates.

Firms expelled within the prior five years from the 6/1/2023 Rule 4111 Evaluation Date (last updated 5/15/2023)

  • ACANTHUS (CRD# 296836)
  • ACCELERATED CAPITAL GROUP (CRD# 41270)
  • AVALON INVESTMENT & SECURITIES GROUP, INC. (CRD# 6281)
  • CDK FINANCIAL SERVICES, LLC (CRD# 124333)
  • CLINGER & CO., INC. (CRD# 1471)
  • CPIBD LLC (CRD# 46049)
  • CV BROKERAGE, INC (CRD# 462)
  • ESSEX RADEZ LLC (CRD# 34649)
  • FINANCIAL WEST GROUP (CRD# 16668)
  • ICV GROUP, INC. (CRD# 294024)
  • IMS SECURITIES, INC. (CRD# 35567)
  • KJM SECURITIES, INC. (CRD# 20277)
  • LAM SECURITIES INVESTMENTS, INC. (CRD# 17037)
  • M. ZUCKER, INC. (CRD# 5467)
  • MCNAMEE LAWRENCE SECURITIES, LLC (CRD# 46941)
  • MIDTOWN PARTNERS (CRD# 104223)
  • NEWPORT COAST SECURITIES, INC. (CRD# 16944)
  • PALADIN MARKET ADVISORS, LLC (CRD# 13281)
  • PAS CAPITAL, LLC (CRD# 41498)
  • POTOMAC CAPITAL MARKETS, LLC (CRD# 39800)
  • PTX SECURITIES, LLC (CRD# 7735)
  • RICHFIELD ORION INTERNATIONAL, INC. (CRD# 24433)
  • ROBERT R. MEREDITH & CO., INC. (CRD# 29501)
  • SANDLAPPER SECURITIES, LLC (CRD# 137906)
  • SISK INVESTMENT SERVICES, INC. (CRD# 19406)
  • SPENCER EDWARDS, INC. (CRD# 22067)
  • STRATFORD PARTNERS (CRD# 164954)
  • SW FINANCIAL (CRD# 145012)
  • TITUS ROCKEFELLER, LLC (CRD# 43608)
  • USTOCKTRADE SECURITIES, INC. (CRD# 16208)
  • WORDEN CAPITAL MANAGEMENT LLC (CRD# 148366)
  • WORLD-XECUTION STRATEGIES (CRD# 134645)
  • WYNSTON HILL CAPITAL, LLC (CRD# 103811)

Firms expelled within the prior five years from the 6/1/2024 Rule 4111 Evaluation Date (last updated 8/24/2023)

  • ACANTHUS (CRD# 296836)
  • ACCELERATED CAPITAL GROUP (CRD# 41270)
  • AVALON INVESTMENT & SECURITIES GROUP, INC. (CRD# 6281)
  • BROKERBANK SECURITIES, INC. (CRD# 130116)
  • CLINGER & CO., INC. (CRD# 1471)
  • CV BROKERAGE, INC (CRD# 462)
  • ESSEX RADEZ LLC (CRD# 34649)
  • FINANCIAL WEST GROUP (CRD# 16668)
  • ICV GROUP, INC. (CRD# 294024)
  • KJM SECURITIES, INC. (CRD# 20277)
  • LAM SECURITIES INVESTMENTS, INC. (CRD# 17037)
  • M. ZUCKER, INC. (CRD# 5467)
  • MIDTOWN PARTNERS (CRD# 104223)
  • MONMOUTH CAPITAL MANAGEMENT LLC (CRD# 290248)
  • PALADIN MARKET ADVISORS, LLC (CRD# 13281)
  • PAS CAPITAL, LLC (CRD# 41498)
  • PENSION FUND EVALUATIONS, INC. (CRD# 10985)
  • POTOMAC CAPITAL MARKETS, LLC (CRD# 39800)
  • PTX SECURITIES, LLC (CRD# 7735)
  • RICHFIELD ORION INTERNATIONAL, INC. (CRD# 24433)
  • SANDLAPPER SECURITIES, LLC (CRD# 137906)
  • SPENCER EDWARDS, INC. (CRD# 22067)
  • STORMHARBOUR SECURITIES LP (CRD# 35997)
  • STRATFORD PARTNERS (CRD# 164954)
  • SW FINANCIAL (CRD# 145012)
  • THE TRANSPORTATION GROUP (SECURITIES) LIMITED (CRD# 286288)
  • TITUS ROCKEFELLER, LLC (CRD# 43608)
  • USTOCKTRADE SECURITIES, INC. (CRD# 16208)
  • WORDEN CAPITAL MANAGEMENT LLC (CRD# 148366)
  • WYNSTON HILL CAPITAL, LLC (CRD# 103811)

1 For more information about Rule 4111, see Regulatory Notice 21-34 and Information Notice 02/01/2022.

2 See Rule 4111(i)(9) (defining the “Preliminary Criteria for Identification”); 4111(i)(11) (defining “Preliminary Identification Metrics Thresholds” and displaying numeric thresholds for seven firm-size categories).

3 See Rule 4111(i)(10)(F) (defining the “Expelled Firm Association Metric”).

4 See Rule 4111(i)(4)(F) (defining “Registered Persons Associated with Previously Expelled Firms”); see also Rule 4111(i)(13) (defining “Registered Persons In-Scope”).

5 See Rule 4111(i)(6) (defining “Evaluation Period”); see also Rule 4111(i)(5) (defining “Evaluation Date”).