Enforcement actions

The Financial Industry Regulatory announced the action Wednesday, saying it stemmed from the firms' supervisory failures.

After getting national attention for allegedly swindling millions from a disabled billionaire client, brokers Ami Forte and Charles Lawrence have been barred from the industry.

The firm attached a corrective action statement detailing changes to its personnel, compliance department and municipal trading desk.

Some say a case announced yesterday echoed one last year where traders allegedly lied to get priority in their orders for newly-issued bonds.

Thomas Muldoon should properly have placed his orders as dealer stock orders, the SEC found, but instead asked representatives to submit them as retail orders.

“Reporting unauthorized transactions is certainly a good first step in building cooperation,” said one lawyer. “But there could be a lot more to it.”

Market participants are questioning IFS' future and how a rogue trader engaged in unsupervised trades.

FINRA settled with two parties after they violated MSRB Rule G-17 by whiting out dates and failing to disclose a $2 million fee up until an issuance.

The monitorship plan will extend until Sept. 13 for seven assisted living facilities he is trying to liquidate.

Brogdon's high personal spending and failure to sell his assets spell an end to the usefulness of his repayment plan, the SEC told a federal judge.