According to a public release from FINRA.org they, “ordered Raymond James & Associates, Inc. (RJA) and Raymond James Financial Services, Inc. (RJFS) to pay restitution of $1.69 million to more than 15,500 investors who were charged unfair and unreasonable commissions on securities transactions. FINRA also fined RJA $225,000 and RJFS $200,000.” Both companies have “neither admitted nor denied the charges, but consented to the entry of FINRA’s findings.”
The document reports that an automated system implemented at both Raymond James entities charged “excessive commissions on over 27,000 transactions involving, in most instances, low-priced securities.” The firm’s supervisory measures proved “inadequate” according to FINRA “because the firms established inflated schedules and rates without proper consideration of the factors necessary to determine the fairness of the commissions, including the type of security and the size of the transaction.”
FINRA is requiring Raymond James & Associates (RJA) and Raymond James Financial Services (RJFS) to modify their “automated commission schedules to the requirements of the Fair Prices and Commissions Rule.” Also, in addition to the $1.69 million in restitution “each firm is required to calculate and repay additional overcharges from Nov. 1, 2010, through the date that each firm revised its schedule.”
If you are concerned that you may have been charged unreasonable commission fees by Raymond James & Associates, Raymond James Financial Services, or another brokerage house, the attorneys of The White Law Group may be able to help. To speak to a securities attorney please call our Chicago office at 312/238-9650.
The White Law Group, LLC is a national securities fraud, securities arbitration, investor protection, and securities regulation/compliance law firm with offices in Chicago, Illinois and Boca Raton, Florida.
For more information on The White Law Group, please visit our website at http://www.whitesecuritieslaw.com.