FINRA enforcement roundup: Three firms fined for trade compliance lapses
By 
Aaron Nicodemus2024-05-09T19:16:00
The Financial Industry Regulatory Authority (FINRA) fined three firms between $250,000 and $500,000 across separate actions for failing to properly implement, monitor, and supervise internal systems that led to compliance failures.
Oppenheimer & Co., a New York City-based broker-dealer, was fined $500,000 for failing to reasonably supervise transactions “that the firm’s registered representatives placed directly with product sponsors on behalf of firm customers” from 2012-17, FINRA said in its order signed Tuesday.
As a result, more than 490,000 of these direct business transactions placed on behalf of more than 14,000 customers were not reported on Oppenheimer’s daily trade blotter, as required. The transactions were not screened for potential sales practice violations, including “potentially unsuitable transactions,” the self-regulatory organization alleged.
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