The Securities and Exchange Commission settled a regulatory action case with the Financial Industry Regulatory Authority (FINRA) over allegations that FINRA had altered documents in response to a request made by the SEC’s Chicago regional office back in 2008. FINRA neither admitted nor denied any wrongdoings.
The case arose from a complaint filed by a FINRA official last year, who tipped FINRA’s administration to the alleged violations committed by a former FINRA director in its Kansas City office. According to the whistleblower complaint, the former director had ordered another staff member to alter three records of the staff meeting minutes, just hours before they were submitted to the SEC inspection staff, making the records inaccurate and incomplete.
