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FINRA Fines Michigan Broker $225,000 for AML, Securities Violations
printThe 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. The nongovernmental regulator, known as FINRA, said Tuesday that it had penalized Troy, Mich.-based Leonard & Co. for allowing the illegal sale of over 2.2 million unregistered shares of penny stock in Shallbetter Industries on behalf of a company insider between August and November 2006. Leonard & Co. employee Robert Cole was barred by FINRA for his role in the transaction and for engaging in price manipulation in the shares. The...
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