The National Futures Association (NFA) has ordered Alpari US, LLC, a futures commission merchant and forex dealer located in New York City, New York, to pay a $200,000 fine as a result of an NFA Complaint filed in June 2012 and a settlement offer submitted by the firm.
The decision, issued by NFA’s Business Conduct Committee, found Alpari violated several NFA requirements. Those violations include improperly cancelling forex trades and removing profits from customer accounts, failing to timely report trade data and other required information to NFA, failing to observe high standards of commercial honor, failing to comply with NFA’s Enhanced Supervisory Requirements and failing to keep accurate records. The Decision also found that Alpari failed to supervise.
In addition to the $200,000 fine, Alpari is required to refund within 30 days to customers losses they incurred as a result of the price adjustments that Alpari made to their accounts in connection with an October 2011 “market event.” Alpari must also provide verification to NFA that these refunds were paid to and received by customers.
Alpari must also submit a written report to NFA within 180 days of the effective date of the Decision which documents the results of an independent review of Alpari’s electronic trading platforms conducted by a qualified outside party and the steps Alpari has implemented to remedy deficiencies with the firm’s internal controls.
The foregoing information, which is publicly available on the NFA’s website, is being provided by The White Law Group. The White Law Group is a national securities fraud, securities arbitration, and investor protection law firm with offices in Chicago, Illinois and Boca Raton, Florida.
For more information on The White Law Group visit https://www.whitesecuritieslaw.com.