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Eccleston Law Blog

FINRA Orders Raymond James to Pay $1.1 Million For Overcharges and Supervisory Failures

November 2nd, 2022 at 3:11 PM
The Financial Industry Regulatory Authority (FINRA) has ordered Raymond James to pay at least $1.1 million over supervisory failures that resulted in excessive commissions charged to clients as well as unauthorized changes to account designations on trades. 
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Regulators Report Surges In Investment Scams Targeting The Elderly

November 1st, 2022 at 1:14 PM
The Federal Trade Commission (FTC) has announced that older investors lost $147 million due to investment scams in 2021, which constitutes a massive 213% increase from 2020.
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FINRA Fines Janney Over Compliance Failures Related to Two Advisors

October 31st, 2022 at 11:41 AM
The Financial Industry Regulatory Authority (FINRA) has fined Janney Montgomery Scott, a regional financial advisory firm, $245,000 due to compliance failures that permitted two advisors to over-concentrate 11 clients in energy equities.
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SEC Charges Crew Capital Group and Estate of Steven Swensen Over Fraudulent Investment Scheme

October 28th, 2022 at 11:38 AM
The Securities and Exchange Commission (SEC) has charged Crew Capital Group and the estate of Stephen Swensen, who was formerly a financial advisor, for orchestrating a fraudulent investment scheme that generated nearly $29 million from at least 50 investors between 2011 and 2022. 
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SEC Probes Financial Advisory Firms’ Use of WhatsApp and Other Messaging Platforms

October 27th, 2022 at 2:51 PM
The Securities and Exchange Commission (SEC) is investing whether financial advisory firms used WhatsApp or other outside messaging platforms to communicate with clients.
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FINRA Imposes First Fine For Reg BI Violation

October 26th, 2022 at 1:53 PM
The Financial Industry Regulatory Authority (FINRA) has issued a six-month suspension and a $5,000 fine to a former financial advisor in the regulator’s first disciplinary action related to Regulation Best Interest (Reg BI). 
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FINRA Fines UBS and Barclays Capital Over Trading Violations

October 25th, 2022 at 1:59 PM
The Financial Industry Regulatory Authority (FINRA) has fined UBS Securities $2.5 million for violating a rule regarding a common problem known as a “failure to deliver”, which could lead to the potential sale of securities that an investor does not own or has not borrowed. 
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SEC Charges Florida Man and French National with $40 Million Securities Fraud

October 24th, 2022 at 12:58 PM
The Securities and Exchange Commission (SEC) has charged a Florida-based real estate agent, Fernando Bastos, and a resident of France, Joao Fonseca, as well as four entities they owned for orchestrating an investment fraud.
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SEC Advised To Alter Plan Addressing Onerous RIA Arbitration Clauses and Other Senior Protection Issues

October 21st, 2022 at 1:21 PM
The Securities and Exchange Commission (SEC) has been urged by several organizations to address investment advisory firms’ use of mandatory arbitration to settle client disputes as well as threats to older investors in its regulatory agenda for the next four years.
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SEC Charges California Advisory Firm with Operating a Ponzi-Style Scheme

October 20th, 2022 at 12:49 PM
The Securities and Exchange Commission (SEC) has charged JMJ Capital Group and its president, Richard Ramirez, with fraudulently raising millions of dollars from California-based investors. 
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Thank You from the bottom of our hearts for all you have done for us. When we realized this was a very bad investment - we did not know where to turn for help. Then we received your name. When we called you - you were so kind to us and then agreed to help us. For this we are so very grateful. The world would be a much nicer place if there were more people like the two of you in it. We will always remember all the help and kindness you have shown us. Thank you so very very much for everything.

Wayne and Judy S.

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Merrill Lynch has agreed to pay a $225,000 fine and accept a censure to resolve allegations that it failed to properly identify and report more than 1,600 customer complaints submitted through post-call surveys, according to a Financial Industry Regulatory Authority (FINRA) Acceptance, Waiver and Consent letter ("AWC").

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Independent Review Recommends Sweeping Changes to FINRA's Enforcement Program

An independent review commissioned by the Financial Industry Regulatory Authority (FINRA) recommends significant changes to the regulator's enforcement program, including adopting a statute of limitations, expanding due process protections, and providing greater credit to firms that cooperate during investigations, according to AdvisorHub.