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Brokerage Firms and FINRA Crack Down on Broker Expense Account Violations
By Erwin J. Shustak, Esq. of Shustak Reynolds & Partners, P.C. posted on Monday, December 4, 2017.
In a growing number of high profile cases, often involving major producers and star brokers at major wire houses, the firms and FINRA have adopted a zero-tolerance policy for violations of expense account reporting. These crackdowns involve both firm funds and personal business development accounts (“BDA Accounts”), which are available at most wire houses and are funded with brokers’ pre-tax earnings. What is unusual is both the recent frequency of the crackdowns and the severity of the sanctions involved. Read More
From Bitcoin to Ethereum, The Rise of Initial Coin Offerings Draws Regulatory Scrutiny
By Jake Zindulka of Shustak Reynolds & Partners, P.C. posted on Monday, November 27, 2017.
From Bitcoin to Ethereum, The Rise of Initial Coin Offerings Draws Regulatory Scrutiny The amount of capital raised through initial coin offerings (ICOs) has increased exponentially in just the last year. So far, in 2017, companies have raised over $3 billion compared to approximately $300 million raised between 2014 and 2016. Read More
San Diego Securities Lawyers: First Morgan, Now UBS Jumps From The Broker Protocol Ship
By Erwin J. Shustak, Esq. of Shustak Reynolds & Partners, P.C. posted on Tuesday, November 28, 2017.
Several weeks ago, Morgan Stanley became the first major wire house to exit the Broker Protocol that Morgan signed back in 2006. Since exiting the Protocol, Morgan already has sought, and obtained, a Temporary Restraining Order from a state court judge preventing that departed broker- who joined Morgan when Morgan still was an active member of the Broker Protocol. Following Morgan’s lead, UBS, one of the initial three signers of the Broker Protocol back in 2004, has announced it also will leave the Broker Protocol by the first of December. Read More
California FINRA Lawyers: The Growing Problem of Unpaid FINRA Arbitration Awards
By Erwin J. Shustak, Esq. of Shustak Reynolds & Partners, P.C. posted on Tuesday, November 14, 2017.
While FINRA arbitrations were intended to provide investors and industry members a quick and relatively inexpensive procedure by which to settle their disputes with member firms, the fact is that a significant portion of FINRA arbitration awards remain unpaid and there is not much that FINRA is able to do about that. Read More
California Securities Lawyers: Morgan Stanley Ditches the Broker Protocol
By Erwin J. Shustak, Esq. of Shustak Reynolds & Partners, P.C. posted on Tuesday, October 31, 2017.
As FINRA and the SEC make it a priority for the investing public to know as much about their investment professionals as possible, and as more and more investors are searching the FINRA Broker-Check web site to learn more about their advisers, expungement is an increasingly significant issue [...] Read More
California FINRA Lawyers: FINRA Expungement Update - October 2017
By Erwin J. Shustak, Esq. of Shustak Reynolds & Partners, P.C. posted on Monday, October 23, 2017.
As FINRA and the SEC make it a priority for the investing public to know as much about their investment professionals as possible, and as more and more investors are searching the FINRA Broker-Check web site to learn more about their advisers, expungement is an increasingly significant issue [...] Read More
SEC Unmasked: How Safe are Its Investigative Files?
By Dennis Stubblefield, Esq. of Shustak Reynolds & Partners, P.C. posted on Friday, September 22, 2017.
We just posted our overview of the SEC Hack. The agency has thus far specified just EDGAR as being compromised [...] Read More
SEC Reveals It Was Hacked in 2016
By Jonah A. Toleno, Esq. of Shustak Reynolds & Partners, P.C. posted on Friday, September 22, 2017.
On the heels of the recent Equifax hack disclosure, the U.S. Securities and Exchange Commission (SEC), the government agency responsible for regulating the nation’s securities and financial services industry, issued a press release September 20, 2017, announcing a significant security breach [...] Read More
FINRA Issues New Guidance on Social Media Communications, Including Rules on Sharing Content and New Types of Advertising
By Katherine S. Bowles, Esq. of Shustak Reynolds & Partners, P.C. posted on Wednesday, September 13, 2017.
FINRA has issued new guidance on the use of social media and digital communications for member firms [...] Read More
California Securities Lawyer Update: From Bad to Worse, Wells Fargo Increases Fake Account Estimate
By George C. Miller, Esq. of Shustak Reynolds & Partners, P.C. posted on Thursday, August 31, 2017.
Wells Fargo now estimates that the firm opened 3.5 million phony bank and credit card accounts [...] Read More