Northeast Securities Inc. Censured & Fined
According to the Financial Industry Regulatory Authority (FINRA), on June 12, 2018, Northeast Securities Inc. (CRD #25996) was issued an AWC in which the firm was censured and fined $50,000.
FINRA Rules requires firms such as Northeast Securities to establish and maintain a system to supervise the activities of its associated personnel that is reasonably designed to achieve compliance with applicable securities laws and regulations, and with applicable FINRA rules.
Firms are also required to establish, maintain and enforce written procedures to supervise the types of business in which they engage and the activities of their associated persons reasonably designed to achieve compliance with applicable securities laws and regulations. They must have supervisory procedures in place for the review of incoming and outgoing securities-related written correspondence, including electronic correspondence.
During the period of January 2010 through December 2016, Northeast allegedly failed to: (a) maintain reasonable written supervisory procedures (“WSPs”) with respect to supervision of outside brokerage accounts and review of electronic communications: and (b) reasonably supervise its review of outside brokerage accounts and electronic communications.
Northeast also reportedly consents to the imposition of the following sanctions:
- Written Supervisory Procedures Review and Certification;
- Outside Brokerage Account Review, Report and Restitution;
- Risk-Based Email Review and Certification
For FINRA’s full findings see FINRA Case # 2014040769402.
This information, which is publicly available on FINRA’s website, has been provided by The White Law Group.
If you have questions about investments you made with Northeast Securities Inc. the securities attorneys of The White Law Group may be able to help you. To speak with a securities attorney, please call 888-637-5510.
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 Vero Beach, Florida.
For more information on The White Law Group, and its representation of investors, please visit our website at https://www.whitesecuritieslaw.com.