Adjudications & Decisions
When FINRA determines that violations of securities rules have occurred and formal disciplinary action is necessary, the Enforcement Department files a complaint with the Office of Hearing Officers (OHO).
The Office arranges a three-person panel to hear the case. The panel is chaired by a hearing officer who is an employee of the Office of Hearing Officers. The Chief Hearing Officer appoints two industry panelists, drawn primarily from a pool of current and former securities industry members of FINRA's District Committees, as well as its Market Regulation Committee, former members of FINRA's National Adjudicatory Council (NAC) and former FINRA Governors.
At the hearing, the parties present evidence for the panel to determine whether a firm or individual has engaged in conduct that violates FINRA rules, SEC regulations or federal securities laws. In reaching its decision, the hearing panel also considers previous court, SEC, and NAC decisions to determine if violations occurred. The NAC is the national committee which reviews initial decisions rendered in FINRA disciplinary and membership proceedings.
For each case, the hearing panel will issue a written decision explaining the reasons for its ruling and consult the FINRA Sanction Guidelines to determine the appropriate sanctions if violations have occurred. FINRA also, when feasible and appropriate, can order firms and individuals to make restitution to harmed customers.
Appeals Process
Under FINRA's disciplinary procedures, a firm or individual has the right to appeal a hearing panel decision to the NAC, or the NAC may on its own initiate a review of a decision. On appeal, the NAC will determine if a hearing panel's findings were legally correct, factually supported and consistent with FINRA's Sanction Guidelines. While a panel decision is on appeal, the sanction is not enforced against the firm or individual.
Unless FINRA's Board of Governors decides to review the NAC's appellate decision, that decision represents FINRA's final action. A firm or individual can appeal FINRA's decision to the SEC and then to federal court.
View All Adjudications & Decisions
| Date of Decision | Proceeding No. | Title | Type |
|---|---|---|---|
| February 13, 2007 | 2005000094001 | Order Denying Respondents' Motion for Leave to Offer Expert Testimony | Disciplinary Order |
| February 12, 2007 | C02050006 | In the Matter of Department of Enforcement, Complainant vs. Respondent | Disciplinary Decision, Redacted Decision |
| February 12, 2007 | C06040027 | Sterling Scott Lee and Dennis Todd Lloyd Gordon | Disciplinary Decision |
| February 12, 2007 | C07040042 | John D. Kaweske | Disciplinary Decision |
| February 05, 2007 | 2005001305701 | Order Denying the Respondents' Motion for a More Definite Statement | Disciplinary Order |
| February 01, 2007 | E3A20050065 | Order Regarding Respondent's Pre-Hearing Submissions | Disciplinary Order |
| January 23, 2007 | C3A040023 | John M. Meyers and Brian C. Klein | Disciplinary Decision |
| January 17, 2007 | C10040025 | John Brigandi | Disciplinary Decision |
| January 08, 2007 | C9A040024 | Charles C. Fawcett IV | Disciplinary Decision |
| January 03, 2007 | C3A040001 | Charles A. DaCruz and Thomas J. Linda | Disciplinary Decision |
| January 01, 2007 | SD07003 | In the Matter of the Association of X | Redacted Decision, Statutory Disqualification, Approvals |
| January 01, 2007 | SD07001 | In the Matter of the Association of X | Redacted Decision, Statutory Disqualification, Approvals |
| January 01, 2007 | SD07004 | In the Matter of the Association of X | Redacted Decision, Statutory Disqualification, Approvals |
| January 01, 2007 | SD07002 | In the Matter of the Association of X | Redacted Decision, Statutory Disqualification, Approvals |
| December 29, 2006 | C01040025 | Jimmie Lee Griffith | Disciplinary Decision |
| December 28, 2006 | E8A2003084806 | Order Granting Complainant's Motion in Limine | Disciplinary Order |
| December 28, 2006 | 2005001819101 | Order Granting Complainant's Motion to Strike in Part the Introduction to Respondent's Answer | Disciplinary Order |
| December 18, 2006 | C9B040080 | Morton Bruce Erenstein | Disciplinary Decision |
| December 18, 2006 | C8A040079 | Gregory R. Masceri | Disciplinary Decision |
| December 15, 2006 | C02050006 | In the Matter of the Association of X | Redacted Decision |
| December 15, 2006 | 2005000315901 | Hearing Panel Decision in Department of Enforcement v. Respondent | Redacted Decision |
| December 12, 2006 | E8A20050252 | Hearing Panel Decision in Department of Enforcement vs. CMG Institutional Trading, LLC and Shawn D. Baldwin | Disciplinary Decision |
| November 16, 2006 | 2005000316701 | Order (1) Granting Complainant's Motion in Limine; (2) Denying Complainant's Motion to Sequester Witnesses, Without Prejudice; (3) Denying Respondents' Motions to Dismiss; (4) Denying Respondents' Motion to Strike; (5) Granting, in Part, Respondents' Motion To Preclude; (6) Denying, in Part, and Deferring, in Part, Respondents' Motion For Leave to Present Expert Testimony and (7) Denying Respondents' Motion for Leave to File a Compilation of Motions, Briefs and Rulings | Disciplinary Order |
| November 14, 2006 | C8A050060 | Hearing Panel Decision in Department of Enforcement vs. Karen Hill | Disciplinary Decision |
| November 09, 2006 | EAF0300770001 | Order For Sequestration of Witnesses | Disciplinary Order |