A piece on Duke, by the by....
Duke & Co, Inc. (New York, New York), Lawrance A. Rosenberg (Registered
Principal, Brooklyn, New York), and Salvatore Saporito (Registered
Representative, Brooklyn, New York). The firm and Saporito submitted an
Offer of Settlement pursuant to which the firm was fined $25,000 and ordered
to implement supervisory procedures. Saporito was fined $25,000 and
suspended from association with any NASD member in any capacity for six
months. In a separate decision, Rosenberg was fined $5 million and barred
from association with any NASD member in any capacity. Without admitting
or denying the allegations, the firm and Saporito consented to the described
sanctions and to the entry of findings that the firm, acting through Saporito
and Rosenberg, manipulated trading in a security that created actual and
apparent active trading in the security and raised the price of the security for
the purpose of inducing the purchase or sale of the security by others. The
findings also stated that the firm, acting through Saporito and Rosenberg,
actively bid for, purchased, and solicited securities while the firm was acting
as broker or dealer participating in a distribution of securities. Furthermore,
the NASD determined that the firm and Rosenberg failed to establish and
maintain an effective supervisory system and failed to enforce supervisory
procedures.
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Here's a few more, for those defenders of the MM domain.
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Fahnestock & Company, Inc. (New York, New York) submitted a Letter of
Acceptance, Waiver and Consent pursuant to which the firm was fined
$10,000. Without admitting or denying the allegations, the firm consented to
the described sanction and to the entry of findings that it did not retain the
original trade information that was reported to ACT in its history file. The
NASD also determined that the firm reported the time for transactions to ACT
prior to the execution time on the order ticket. The findings also stated that the
firm failed to establish, maintain, and enforce written supervisory procedures
reasonably designed to detect and deter trade reporting violations.
Gordon & Co. (Newton, Massachusetts) submitted a Letter of Acceptance,
Waiver and Consent pursuant to which the firm was fined $25,000. Without
admitting or denying the allegations, the firm consented to the described
sanction and to the entry of findings it failed to file any conventional option
position reports with the NASD as required by NASD Rule 2860(b)(5)(A) for
its customers and/or proprietary accounts.
Hamilton Partners L.P. (Hamilton, Bermuda) submitted a Letter of
Acceptance, Waiver and Consent pursuant to which the firm was fined
$10,000. Without admitting or denying the allegations, the firm consented to
the described sanction and to the entry of findings that it exceeded the
allowable options position limits. The findings also stated that the firm failed
to maintain and enforce supervisory procedures to prevent the violations
described above.
Mark Andrew Heitner (Registered Representative, Forest Hills, New York)
submitted an Offer of Settlement pursuant to which he was fined $5,000 and
suspended from association with any NASD member in any capacity for five
business days. Without admitting or denying the allegations, Heitner
consented to the described sanctions and to the entry of findings that he
engaged in manipulative, deceptive, and fraudulent conduct by intentionally
and recklessly causing Nasdaq trades to be reported late. The findings also
stated that Heitner backed away from an order to buy stock.
Herzog Heine Geduld, Inc. (Jersey City, New Jersey) submitted a Letter of
Acceptance, Waiver and Consent pursuant to which the firm was fined
$15,000 and required to conduct a rule education class for its traders. Without
admitting or denying the allegations, the firm consented to the described
sanctions and to the entry of findings that it entered quotations in securities on
The Nasdaq Stock Market that exceeded the parameters for maximum
allowable spreads pursuant to NASD Rule 4613(d).
Mayer & Schweitzer, Inc. (Jersey City, New Jersey) submitted a Letter of
Acceptance, Waiver and Consent pursuant to which the firm was fined
$18,500, required to attend a compliance conference with NASD Regulation
staff, and required to conduct a rule education class for its traders. Without
admitting or denying the allegations, the firm consented to the described
sanctions and to the entry of findings that it entered quotations in securities on
The Nasdaq Stock Market that exceeded the parameters for maximum
allowable spreads pursuant to NASD Rule 4613(d).
Morgan Stanley & Co., Inc. (New York, New York) submitted an Offer of
Settlement pursuant to which the firm was fined $10,000. Without admitting
or denying the allegations, the firm consented to the described sanction and to
the entry of findings that it failed to report conventional options positions for
any of its accounts as required by the NASD.
SC Securities Corporation (Dallas, Texas) submitted an Offer of Settlement
pursuant to which the firm was fined $100,000. Without admitting or denying
the allegations, the firm consented to the described sanction and to the entry of
findings that it failed to establish and maintain an effective supervisory
system, to enforce supervisory procedures, and to reasonably supervise its
registered representatives.
Trimark Securities, L.P. (White Plains, New York) submitted a Letter of
Acceptance, Waiver and Consent pursuant to which the firm was fined
$20,000 and required to submit to the NASD all procedures and steps that it
will implement to ensure compliance with the NASD's trade reporting
regulations. Without admitting or denying the allegations, the firm consented
to the described sanctions and to the entry of findings that it failed to report
trades to ACT when in fact, these trades were done with other member firms
and ACT participants. Furthermore, the findings stated that the firm reported
an incorrect buy/sell indicator in transactions and reported trades that were not
required to be reported.
Troster Singer Corporation (Jersey City, New Jersey) submitted a Letter of
Acceptance, Waiver and Consent pursuant to which the firm was fined
$22,500 and required to conduct a rule education class for its traders. Without
admitting or denying the allegations, the firm consented to the described
sanction and to the entry of findings that it entered quotations in securities on
The Nasdaq Stock Market that exceeded the parameters for maximum
allowable spreads pursuant to NASD Rule 4613(d).
Troster Singer Corporation (Jersey City, New Jersey) submitted a Letter of
Acceptance, Waiver and Consent pursuant to which the firm was fined
$16,000 and required to conduct a rule education class for its traders. Without
admitting or denying the allegations, the firm consented to the described
sanctions and to the entry of findings that it entered or maintained quotations
in The Nasdaq Stock Market that caused a locked and/or crossed market
condition to occur in eight securities.
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I don't admit nor deny posting this. |
