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Investors
Regulatory Analyst Settlement and Arbitration Impact, $1.4 billion
Expectations have been raised by the media, claimants’ counsel and other pundits that a flood of arbitration filings will follow the conclusion of the $1.4 billion regulatory settlement regarding analyst conflicts. RESEARCH SETTLEMENT & ARBITRATION IMPACT: Expectations have been raised by media, Claimant’s counsel and other pundits that a flood […]
Selling Away Claims Denied in Arbitration
Firm Still Must Pay $32,000 In Forum and Related Fees ROBINSON v. FIRST ALLIED SECURITIES, INC., NASD ID #99-04441 (Pittsburgh, 9/25/01): This “selling away” case involved thirteen separately filed arbitrations that were consolidated for pre-hearing and hearing purposes. By the time of the hearing, the broker had declared bankruptcy, leaving […]
Qualified Immunity for NASD
Federal Court Finds Immunity for NASD Staff and State Investigators Tretiak v. Del Papa, No. 00-17248, 2001 U.S. App. LEXIS 24738 (9th Cir., 11/13/01). Enforcement Practice/Procedure – Privileges & Immunities (Absolute Immunity; Qualified Immunity) – Representation Issues – Timeliness Issues (Statutes of Limitations). Regulators have qualified immunity against claims based […]
NASD Approves Customer Transfer Interpretation
NASD Approves Customer Transfer Interpretation Freezing accounts when broker transfers firms no longer an option Approved by the SEC on January 4, 2002, this new policy will assure that customers will be able to transfer accounts without restriction to follow a departing broker. The full text of IM 2110-7 states […]
Analyst Disclosure Issue Would Snag Brokers
New NASD Proposal will require more disclosures by retail brokers. The war on analysts is now threatening brokers. In proposing heightened disclosures from analysts, the NASDR has included retail brokers as well. The July proposal, NASD Notice to Members 01-45, broadens disclosure obligations for public appearances by analysts and brokers […]
SEC Judgment Against Momentum Stock Site
SEC Judgment Against Momentum Stock Picking Site By Mark J. Astarita, Esq. The SEC announced that on May 25, 2001, the U.S. District Court in Eugene, Oregon entered judgments against Jared R. Leisek and his brother, Byron J. Leisek. According to the SEC, its complaint, filed on March 1, 2001, […]
Proposed MSRB Interpretations
Proposed MSRB Interpretations Interpretation of Dealer’s Affirmative Disclosure Obligations Released By John M. Baker, Esq. Feb. 12, 2002 – The Securities and Exchange Commission this week published comment notices for two Municipal Securities Rulemaking Board notices on the responsibilities of dealers to municipal securities customers. The notice published today proposes […]
New Consumer Protection Regulations Adopted
Sales Practices, solicitations, advertising regulations adopted By John M. Baker, Esq. The Office of the Comptroller of the Currency has posted the final version of consumer-protection regulations adopted by the OCC, FDIC, OTS, and Federal Reserve under the Gramm-Leach-Bliley Act. The regulations apply to retail sales practices, solicitations, advertising, and […]
Spring Street Paves the Way – Internet Offerings
IN JULY’S COLUMN, WE ADDRESSED THE “INTERNET OFFERING,” a public securities offering on the Internet usually conducted by the issuer without using an underwriter. Since then, broker/dealers and issuers have begun using the Internet in connection with Regulation A offerings as well as traditional IPOs. In the past few months, no […]
