FINRA Enforcement Defense Lawyer
FINRA is an independent body that regulates the financial markets. It protects the interests of investors by ensuring that actors in the financial markets such as financial advisors and broker-dealers are fair in their dealings. They also ensure compliance with the rules set by other regulatory bodies. FINRA has the power to launch disciplinary proceedings against individuals and brokerage firms. It then imposes severe penalties on those found guilty of non-compliance. The penalties can be in the form of fines, suspension, or even a permanent ban from the industry.
Due to the severity penalties, full compliance with the set regulations should be a priority for every broker and firm. At Federal Lawyers, we have a team of dedicated FINRA compliance defense lawyers. Having been in the industry for many years, the attorneys understand FINRA regulations in and out. Furthermore, they have helped many clients achieve full FINRA compliance. They will take time to evaluate your day to day activities and point out the actions that are likely to put you on FINRA’sradar. Besides that, when FINRA investigators come knocking, our team of no-nonsense lawyers will defend you with conviction and passion.
Why FINRA Initiates Investigations
There are many reasons why FINRA investigators would want to review your conduct. These reasons include complaints from customers, tips from other industry players, referrals from employers or regulatory bodies, and surveillance reports. FINRA conducts disciplinary procedures through settlements or formal complaints. In the case of a settlement, the broker or firm solves the case through a letter of waiver, consent, or acceptance. Formal complaints are heard before a bench of FINRA officers. The accused brokers are given a chance to defend themselves after which the FINRAbench pronounces its verdict. Last year, FINRA initiated more than 1300 cases. The cases resulted in $133.6 million in reimbursements to affected investors.
Need Help With Your Case?
Don't face criminal charges alone. Our experienced defense attorneys are ready to fight for your rights and freedom.
- 100% Confidential
- Response Within 1 Hour
- No Obligation Consultation
Or call us directly:
(212) 300-5196Both formal complaints and settlements can have favorable and unfavorable outcomes. Before deciding the way to go, it is advisable to contact a FINRA compliance defense lawyer. These lawyers know the circumstances under which each of the methods is suitable.
More About FINRA
FINRA was commissioned by Congress to minimize fraud in the securities markets by monitoring the activities of brokers and brokerage firms. Today, FINRA oversees over 630,000 brokers and 3,900 brokerage firms. It also analyzes more than 50 Billion financial transactions every day. Every broker who eyes the USA market must register with FINRA.
Todd Spodek
Lead Attorney & Founder
Featured on Netflix's "Inventing Anna," Todd Spodek brings decades of high-stakes criminal defense experience. His aggressive approach has secured dismissals and acquittals in cases others deemed unwinnable.
You receive a Wells Notice from FINRA stating that the enforcement division intends to bring a formal disciplinary action against you for allegedly recommending unsuitable investments to elderly clients in your book of business. Your firm's compliance department has distanced itself from your case, and you have only 14 days to submit a written response before FINRA moves forward with formal charges.
How should I respond to this FINRA Wells Notice, and what are my options for defending against these suitability allegations?
A Wells Notice is a critical juncture in the FINRA enforcement process under Rule 9214, and your written submission can significantly influence whether formal charges are filed or reduced. We would immediately analyze the trading records and client profiles at issue to build a defense around FINRA Rule 2111's suitability requirements, demonstrating that your recommendations were consistent with each client's stated investment objectives, risk tolerance, and financial situation. If FINRA does file a complaint, you have the right to a hearing before a FINRA Office of Hearing Officers panel under the Rule 9200 series, where we can challenge their evidence and present expert testimony on industry standards. Many FINRA enforcement matters can also be resolved through an Acceptance, Waiver & Consent agreement under Rule 9216, which we would negotiate aggressively to minimize sanctions and protect your industry registration.
This is general information only. Contact us for advice specific to your situation.
To ensure fairness and integrity in the securities market, FINRA makes and enforces rules that govern broker-investor deals. It is also involved in assessing and licensing brokers.
