In June 2025, Arbeit refused to produce information and documents as requested by FINRA staff pursuant to FINRA Rule 8210, in violation of FINRA Rules 8210 and 2010. For this misconduct, Arbeit is barred from association with any member firm in all capacities.

From March 2021 to March 2023, Du was included on thousands of WeChat messages to or from other Velox Clearing LLC personnel, including senior executives, and Velox customers relating to the firm’s business, many of which he sent. The firm neither supervised nor retained the messages. By causing Velox to maintain incomplete books and records, Du violated FINRA Rules 4511 and 2010 and is suspended for two months in all capacities, fined $7,500, and required to complete five hours of continuing education.

Velox Clearing provides clearing services to a number of foreign financial institutions that transact in thinly traded, low-priced securities through omnibus accounts. Since January 2019, Velox failed to establish and implement an AML program reasonably designed to detect and cause the reporting of suspicious transactions given this business, in violation of FINRA Rules 3310 and 2010. As a result, the firm failed to detect or investigate red flags of spoofing, layering, bid support, and marking the close.

Gilliard refused to appear for on-the-record testimony in response to a FINRA Rule 8210 request on June 2, 2025. Therefore, Gilliard violated FINRA Rules 8210 and 2010. For that violation, Gilliard is barred in all capacities.

From February 2021 through the present, Song failed to reasonably supervise Velox Clearing's business-related electronic communications on a non-firm communications platform used by Velox associated persons, in violation of FINRA Rules 3110 and 2010. Song also sent and received thousands of business communications on a non-firm communications platform that the firm failed to capture and review, thereby causing Velox to maintain incomplete books and records, in violation of FINRA Rules 4511 and 2010.

From February 2018 through November 2023, Rice shared material non-public information concerning imminent customer block order transactions with two firm customers. After sharing the information, Rice executed orders on behalf of those customers in the same security prior to completion of the block order transactions. As a result, Rice violated FINRA Rules 5270 and 2010, and he is suspended for eighteen months in all capacities, fined $10,000, and ordered to disgorge $127,549 plus interest.