The largest non-governmental regulator of U.S. securities firms expelled a Southfield, MI, retail foreign currency broker and permanently barred its chief compliance officer for repeated rule violations, including anti-money laundering, accounting and capital requirements failures. The Financial Industry Regulatory Authority (FINRA) stated Tuesday that Maximum Investment Group Inc., a member since July 1996, was expelled for "repeated violations" of agency rules and not paying a $15,000 fine imposed in May 2006 for improperly settling securities transactions in the foreign exchange, or forex, marketplace. Maximum, acting through its Chief Executive Officer and Chief Compliance Officer, Christopher Paganes, "failed to establish systems...
Some firms under the purview of the nation's largest independent securities regulator are failing to meet anti-money laundering compliance standards despite spending enough money to do so, according to an agency regulator.
The largest non-governmental regulator of U.S. securities firms said Thursday that it had fined three companies over $1.25 million for failing to implement "reasonable" anti-money laundering compliance programs.
Penalties issued by the Financial Industry Regulatory Agency for anti-money laundering violations are on course to outnumber similar fines levied by the self-regulatory organization in 2008, according to agency data.
The Financial Industry Regulatory Authority fined a Michigan brokerage firm $225,000 for securities violations and poor anti-money laundering controls, the second such enforcement action against a broker this year.
E*Trade has been fined $1 million by the Financial Industry Regulatory Authority for inadequate anti-money laundering policies and procedures. The action follows on a $1 million penalty levied by the Securities and Exchange Commission six months ago against the on-line brokerage.