Miami-based broker-dealer Citadel Securities was fined $7 million as part of a settlement with the Securities and Exchange Commission (SEC) addressing mismarked short and long sales caused by a coding error in the firm’s automated trading system.
Citadel violated Regulation SHO by providing inaccurate data to regulators, including the SEC, over a five-year period, the agency said in a press release Friday. The settlement requires Citadel to provide written certification regarding remediation of the coding error and a review of the firm’s computer programming and coding logic.
