IM-9216. Violations Appropriate for Disposition Under Plan Pursuant to SEA Rule 19d-1(c)(2)
This rule is no longer applicable. NASD IM-9216 has been superseded by FINRA Rule 9217. Please consult the appropriate FINRA Rule.
Any member of FINRA that is also a member of the New York Stock Exchange LLC ("NYSE") ("Dual Member") (including any persons affiliated with such member) may be subject to a fine under NASD Rule 9216(b) with respect to any rule listed in this IM-9216 that applies to such member or person. However, any Dual Member that was not also a member of NASD as of July 30, 2007 and that does not engage in any activities that would have required it to be an NASD member (and its affiliated persons that are not otherwise subject to NASD rules) shall only be subject to a fine under NASD Rule 9216(b) with respect to the following rules listed in this IM-9216: any NYSE rule, SEC Exchange Act rule, NASD By-Law or Schedule to the By-Laws, or the NASD Rule 8000 Series.
Any member of FINRA that is not also a member of the NYSE (and its associated persons that are not otherwise subject to NYSE rules) may be subject to a fine under NASD Rule 9216(b) with respect to any rule listed in this IM-9216, with the exception of the NYSE rules.
• NASD Rules 2210, 2211, and 2220, and IM-2210-1, -2210-2, -2210-3, -2210-4, -2210-5, -2210-7, and -2210-8 — Communications with the public.
• NASD Rule 3360 — Failure to timely file reports of short positions on Form NS-1.
• NASD Rule 3110 — Failure to keep and preserve books, accounts, records, memoranda, and correspondence in conformance with all applicable laws, rules, regulations and statements of policy promulgated thereunder, and with NASD Rules.
• NASD Rules 8211 and 8213 — Failure to submit trading data as requested.
• Article IV of the NASD By-Laws — Failure to timely submit amendments to Form BD.
• Article V of the NASD By-Laws — Failure to timely submit amendments to Form U4.
• Article V of the NASD By-Laws — Failure to timely submit amendments to Form U5.
• NASD Rule 1120 — Failure to comply with the Firm Element of the continuing education requirements.
• NASD Rule 2860(b)(3) and (b)(4) — Failure to comply with options position and exercise limits.
• NASD Rule 2860(b)(23) — Failure to comply with contrary exercise advice procedures.
• NASD Rule 3010(b) — Failure to timely file reports pursuant to the Taping Rule.
• NASD Rule 3070 — Failure to timely file reports.
• NASD Rules 4632, 4632A, 6130, 6170, 6130A, 6170A, 6230, 6550, and 6620 — Transaction reporting in equity and debt securities.
• NASD Rules 6954 and 6955 — Failure to submit data in accordance with the Order Audit Trail System ("OATS").
• NASD Rule 11870 — Failure to abide by Customer Account Transfer Contracts.
• Failure to provide or update contact information as required by NASD Rules.
• SEC Exchange Act Rule 604 — Failure to properly display limit orders.
• SEC Exchange Act Rule 602(b)(5) — Failure to properly update published quotations in certain Electronic Communication Networks ("ECNs").
• SEC Exchange Act Rule 17a-5 — Failure to timely file FOCUS reports and annual audit reports.
• SEC Exchange Act Rule 17a-10 — Failure to timely file Schedule I.
• MSRB Rule A-14 — Failure to timely pay annual fee.
• MSRB Rule G-12 — Failure to abide by uniform practice rules.
• MSRB Rule G-14 — Failure to submit reports.
• MSRB Rule G-36 — Failure to timely submit reports.
• MSRB Rule G-37 — Failure to timely submit reports for political contributions.
• MSRB Rule G-38 — Failure to timely submit reports detailing consultant activities.
• NYSE Rule 134(c) and (e) — Failure to comply with specified QT procedures and time periods.
• NYSE Rules 312(a), (b) & (c), 313, 345.12, 345.17, 346(c), 351, 421, and 440F & G — Reporting rule violations.
• NYSE Rules 345.11, 410, 432(a), 440, 440I, and 472(c) — Record retention rule violations.
• NYSE Rules 312(h) & (i), 342(c), 342.10, 346(e) and (f), 382(a), and 791(c) — Failure to obtain approval rule violations.
• NYSE Rules 342(b), (d) & 342.13, 311(b)(5), and 344 — Failure of a member organization to have individuals responsible and qualified for the positions of Financial Principal, Operations Principal, Compliance Official, Branch Office Manager and Supervisory Analyst.
• NYSE Rule 343 — Requirements relating to member organization office sharing arrangements.
• NYSE Rule 345(a) — Failure of a member organization to have individuals responsible and qualified for the positions of Securities Lending Supervisor and Securities Trader Supervisor.
• NYSE Rule 346(b) — Failure to obtain employer's prior written consent for engaging in an outside activity.
• NYSE Rule 352(b) and (c) — Guaranteeing a customer's account against loss or sharing in profits or losses.
• NYSE Rule 387 — Requirements for customer COD/POD transactions.
• NYSE Rule 392 — Notification requirements.
• NYSE Rule 401A — Failure to acknowledge customer complaint within 15 business days.
• NYSE Rule 407 — Requirements for transactions of employees of the Exchange, members or member organizations.
• NYSE Rule 407A — Reporting and notification requirements for members.
• NYSE Rule 408(a) — Requirement that written authorization be obtained for discretionary power in a customer's account.
• NYSE Rule 411(b) — Requirements to bundle multiple odd-lot orders in the same stock, which aggregate to 100 shares or more, to aggregate the orders into round-lot orders.
• NYSE Rule 412 and the interpretations thereunder — Failure to transfer a customer securities account in accordance with requirements.
• NYSE Rule 416A — Failure to promptly provide or promptly update required membership profile information through the Electronic Filing Platform ("EFP"), or failure to electronically certify that required membership profile information is complete and accurate.
• NYSE Rule 445(4) — Failure to designate and identify an Anti-Money Laundering contact person or persons.
• NYSE Rules 704 and 705 — Options position limits and exercise limits.
• NYSE Rules 720 and 722(b) — Failure of a member organization to have individuals responsible and qualified for the positions of Registered Options Principal, Senior Registered Options Principal and Compliance Registered Options Principal.
• NYSE Rule 726 — Options disclosure document and prospectus delivery requirement violations.
• NYSE Rule 780(b)(i) — Requirement for members and member organizations to indicate final decisions of holders of equity options either to exercise or not to exercise expiring equity options by a specific time.
• NYSE Rule 780(f) — Requirement for members and member organizations to make, keep and file with the Exchange records concerning final exercise decisions made with respect to options in certain circumstances.
• NYSE Rule 780.10(b) — Requirement to deliver "exercise advice".
• NYSE Rule 781 — Allocation of exercise assignment notice violations.
Amended by SR-FINRA-2008-023 eff. June 6, 2008.
Amended by SR-NASD-2007-055 eff. Sep. 24, 2007.
Amended by SR-NASD-2006-091 eff. March 5, 2007.
Amended by SR-NASD-2004-025 eff. Nov. 14, 2005.
Amended by SR-NASD-2004-121 eff. Nov. 22, 2004.
Amended by SR-NASD-2003-148 eff. Oct. 3, 2003.
Amended by SR-NASD-2002-171 eff. Nov. 26, 2002.
Amended by SR-NASD-2000-39 eff. Sep. 10, 2001.
Amended by SR-NASD-97-81 eff. Jan. 16, 1998.
Amended by SR-NASD-97-28 eff. Aug. 7, 1997.
Selected Notices: 01-54, 04-77, 05-71, 08-33.