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Scrutiny of HSBC Securities Centers on Suspicious Activity Reporting, Transaction Monitoring: Source
By Brian Monroe
printExaminers from the nation's top regulators of broker-dealers are investigating whether HSBC Securities USA sufficiently scrutinized and reported suspicious transactions, according to an individual with knowledge of the matter. The company, a wholly-owned subsidiary of HSBC Holdings Plc, disclosed in November that the U.S. Securities and Exchange Commission (SEC) and Financial Industry Regulatory Authority (Finra) had launched separate reviews into its compliance with anti-money laundering rules. HSBC said in a regulatory report Monday that the reviews were ongoing. Finra examiners are concerned that "some [compliance] alerts don't get reviewed or they do get reviewed and the level of due diligence...
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