New York-based broker-dealer Maxim Group agreed to pay an $800,000 fine in settling with the Securities and Exchange Commission (SEC) regarding the firm’s alleged failures to file required suspicious activity reports (SARs) and properly execute certain short sales.
The SEC announced its findings in an administrative proceeding Friday, the same day the Financial Industry Regulatory Authority (FINRA) posted a decision notice of its own against Maxim. FINRA fined the firm $500,000 and ordered it to retain an independent consultant regarding supervision failures and separate—but apparently related—suspicious activity reporting lapses.
