Automatically monitor regulatory updates to map to your internal policies, procesures and controls. Learn More
-

1558 Enforcement Actions in the U.S. over past 30 days

-

FTC enforcements decreased 55% over the past 30 days

-

SEC issued enforcements: $37,812,859 over the past 30 days

-

50 Final Rules go into effect in the next 7 days

-

49 Mortgage Lending docs published in the last 7 days

-

1670 docs with extracted obligations from the last 7 days

-

new Proposed and Final Rules were published in the past 7 days

-

11906 new docs in pro.compliance.ai within the last 7 days

-

Considering RCM Solutions?  Here’s an RFP to get started.

-

Enforcement Report Nov 07 - 13

FTC

Penalties: N/A
Respondent: Zoom Video Communications, Inc
Violation: Zoom misrepresented to users since at least June 2016 that they could secure all Meetings with end-to-end encryption… Read More

Penalties: N/A
Respondent: Methodist Le Bonheur Healthcare
Violation: Executed an asset sale agreement in violation of Section 5 of the FTC Act, 15 U.S.C. § 45, which if consummated would violate Section 7 of the Clayton Act, 15 U.S.C. § 18, and Section 5 of the FTC Act, and it appearing to the Commission that a proceeding by it in respect thereof would be in the public interest, hereby issues its complaint pursuant to Section 5(b) of the FTC Act, 15 U.S.C. § 45(b), and Section 11(b) of the Clayton Act, 15 U.S.C. § 21(b)… Read More

Penalties: N/A
Respondent: Board of Dental Examiners of Alabama
Violation: The FTC is investigating the Board for possible federal antitrust violations surrounding actions it has taken to restrict competition from teledentistry services… Read More

CFPB

Penalties: $0.00
Respondent: Anfi, Inc.
Violation: in connection with furnishing consumer reporting information in violation of the Fair Credit Reporting Act, 15 U.S.C. §§ 1681 et seq., and Regulation V, 12 C.F.R. Part 1022… Read More

FRS

Penalties: N/A
Respondent: Craco Inc.
Violation: Craco and the Federal Reserve Bank of Kansas City (the “Reserve Bank”) to maintain the financial soundness of Craco so that Craco may serve as a source of strength to the Bank… Read More

CME

1 Enforcement Document

$60,000.00 in Fines

Penalties: $60,000.00
Respondent: Sung Joong Joo
Violation: The CME Group Chief Regulatory Officer (“CRO”) charged Sung Joong Joo (“Joo”) with violating NYMEX Rule 575.A. based on allegations that between April 15, 2019 and April 18, 2019 Joo entered orders into the July 2019 Platinum Futures markets with the intent, at the time of order entry, to cancel the order before execution. On October 21, 2020, a Hearing Panel Chair of the NYMEX Business Conduct Committee (“BCC”) entered an order finding that Joo failed to answer the charge against him… Read More

FINRA

11 Enforcement Documents

$1,005,320.00 in Fines

Penalties: N/A
Respondent: David R. Oakes
Violation: Specifically, between August 1 and August 4, 2016, Oakes made four cash withdrawals totaling $21,500 from his personal bank account. In addition, between December 27 and 29, 2017, Oakes made three cash deposits of $9,000 each into the same personal bank account… Read More

Penalties: $5,000.00
Respondent: Ming Dang
Violation: From approximately October 2016 through November 2018, Dang violated FINRA Rules 3270 and 2010 by failing to notify AGS prior to engaging in an outside business activity 2 related to his work for an insurance holding company (Company X) that competed with an insurance affiliate of AGS… Read More

Penalties: $270,320.00
Respondent: Coastal Equities, Inc.
Violation: From October 2016 to July 2018, Coastal failed to reasonably supervise a registered representative, SA, who recommended excessive and unsuitable trades in the accounts of four customers… Read More

Penalties: $5,000.00
Respondent: John A. Westbrook
Violation: Respondent participated in private securities transactions totaling $350,335, without prior disclosure to, and approval from his employer member firm. This conduct violated FINRA Rules 3280 and 2010… Read More

Penalties: $47,500.00
Respondent: Philip Anthony Simone
Violation: In February 2019, Simone also violated FINRA Rule 2010 when he created and submitted falsified Finn account statements and supporting documents to a third-party bank in support of his mortgage application… Read More

Penalties: $475,000.00
Respondent: Citigroup Global Markets Inc.
Violation: CGMI omitted approximately 24,800 required disclosures in 16,850 equity research reports that it was either a manager or co-manager of a public offering of equity securities for the companies covered in the reports… Read More

Penalties: $10,000.00
Respondent: Michael Alan Biedny
Violation: Respondent circumvented firm policies by taking steps to conceal his acceptance of $118,000 in gifts from a customer in violation of FINRA Rule 2010… Read More

Penalties: N/A
Respondent: Richard Michael Wesselt
Violation: Wesselt’s recommendation of unsuitable investment strategy to 78 customers violated FINRA Rules 2111, 2330(b) and 2010. In connection with his unsuitable recommendations, Wesselt had customers sign incomplete or blank pages of various documents, including new account documents, variable annuity disclosure forms, and documents authorizing the withdrawal of funds from variable annuities, in violation of FINRA Rule 2010; this conduct also caused his firm to have inaccurate books and records in violation of FINRA Rules 4511 and 2010… Read More

Penalties: N/A
Respondent: Lawrence Goldstein
Violation: In connection with FINRA’s investigation regarding whether Goldstein engaged in unsuitable excessive trading in a customer’s account, FINRA staff issued Goldstein a request for on-the-record testimony pursuant to FINRA Rule 8210. Goldstein refused to appear for on-the-record testimony. As a result, Goldstein violated FINRA Rules 8210 and 2010… Read More

Penalties: $180,000.00
Respondent: Citadel Securities LLC
Violation: Between September 14, 2015 and July 21, 2016, Citadel Securities had a system issue that caused it to report approximately 6.5 million equity sale transactions to the FINRA/Nasdaq Trade Reporting Facility (TRF) with an inaccurate short sale indicator in violation of FINRA Rules 6182, 7230A(d), and 2010… Read More

Penalties: $12,500.00
Respondent: David Patrick Beston
Violation: By improperly removing and retaining customer nonpublic personal information, Beston caused J.P. Morgan to violate SEC Regulation S-P, and in so doing, Beston violated FINRA Rule 2010. Beston’s sale of the information constituted an additional violation of Rule 2010… Read More

SEC

19 Enforcement Documents

$6,571,570.84 in Fines

Penalties: $367,916.00
Respondent: Hughe Duwayne Graham, Donald Lee Howard, Larry Louis Matyas
Violation: The SEC’s complaint, filed in the federal district court for the Northern District of Ohio, charges Graham, Howard and Matyas with violating the broker-dealer registration provisions of Section 15(a) (1) of the Securities Exchange Act of 1934… Read More

Penalties: N/A
Respondent: Joshua Stephens-Anselm
Violation: Respondent pled guilty to one count of grand larceny in the second degree in violation of NY PL 155.40-1, before the Criminal Court of the City of New York, in New York v. Joshua Stephens-Anselm, Superior Court Information No. 2464/2018; The count of the criminal information to which Respondent pled guilty alleged, inter alia, that between June 2016 and July 2017, Respondent “stole property having an aggregate value exceeding fifty thousand dollars”… Read More

Penalties: N/A
Respondent: David C. Coggins, et al.
Violation: The SEC’s complaint, filed on August 19, 2020 in federal court in Florida, alleges that Coral Gables Asset Management and Coggins solicited investors for a private fund they managed by misrepresenting the fund’s past performance, the amount of assets they were managing, and Coggins’ experience as a portfolio manager… Read More

Penalties: $1,306,144.00
Respondent: American Portfolios Financial Services, Inc. and American Portfolios Advisors, Inc.
Violation: APFS’s failure reasonably to supervise certain APFS registered representatives who recommended their brokerage customers buy and hold a complex exchange traded product (“ETP”) without a reasonable basis for believing the recommendation was suitable for their customers… Read More

Penalties: N/A
Respondent: Hughe Duwayne Graham, Donald Lee Howard, and Larry Louis Matyas
Violation: Defendants violated and, unless restrained and enjoined by this Court, may continue to violate Section 15(a)(1) of the Securities Exchange Act of 1934 (“Exchange Act”) [15 U.S.C. § 78o(a)(1)]… Read More

Penalties: $504,800.58
Respondent: Royal Alliance Associates, Inc.
Violation: Royal Alliance violated Section 206(4) of the Advisers Act and Advisers Act Rule 206(4)-7… Read More

Penalties: $603,776.82
Respondent: Securities America Advisors, Inc.
Violation: This matter concerns SAA’s failure to adopt and implement policies and procedures reasonably designed to prevent investments in two volatility-linked exchange-traded products (“ETPs”) that were not suitable for SAA clients… Read More

Penalties: N/A
Respondent: Carrie L. Tolstedt
Violation: Misleading investors about the success of the Community Bank, Wells Fargo’s core business… Read More

Penalties: N/A
Respondent: Douglas A. Roth
Violation: The SEC’s complaint, filed in U.S. District Court for the Eastern District of New York, charges Roth, a resident of East Northport, NY, with violations of the antifraud provisions of Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and seeks permanent injunctions, civil monetary penalties, and a bar from serving as an officer and director of a public company. In a parallel action, the U.S. Attorney’s Office for the Eastern District of New York today filed criminal charges against Roth… Read More

Penalties: $685,134.36
Respondent: Benjamin F. Edwards & Company, Inc.
Violation: Benjamin Edwards’s failure reasonably to supervise certain of its registered representatives (“brokerage representatives”) and investment advisory representatives (“advisory representatives”) who made unsuitable recommendations to its retail brokerage customers and advisory clients that they buy and hold for extended periods two complex exchange traded products that were intended for short-term holding (the “Complex ETPs”)… Read More

Penalties: $603.799.08
Respondent: Summit Financial Group, Inc.
Violation: Summit Financial’s failure to adopt and implement policies and procedures reasonably designed to prevent unsuitable investments in volatility-linked exchangetraded products (“ETPs”) between 2016 and 2018 (the “Relevant Period”)… Read More

Penalties: N/A
Respondent: Progreen US, Inc.
Violation: PGUS has failed to comply with Exchange Act Section 13(a) and Rules 13a-1 and 13a-13 thereunder because it has not filed any periodic reports with the Commission since the period ended January 31, 2019… Read More

Penalties: $2,500,000.00
Respondent: John G. Stumpf
Violation: The information about the extent of the sales misconduct rendered Wells Fargo’s public statements about its cross-sell strategy, and its measurement of that strategy, false and misleading… Read More

Penalties: N/A
Respondent: Robert C. Morgan
Violation: According to the complaint, although Morgan represented to investors that their money would be used to improve multifamily properties, Morgan and two entities he controlled instead diverted investor funds to facilitate payments to earlier investors, and made misrepresentations to later investors about prior fund performance… Read More

Penalties: N/A
Respondent: Christopher W. Burns, Investus Advisers LLC d/b/a Dynamic Money LLC, Investus Financial LLC, Peer Connect LLC, and Meredith L. Burns (Relief Defendant)
Violation: Burns falsely told investors that he would use investor funds for a peer-to-peer lending program for businesses in need of capital… Read More

X