Last month, FINRA’s National Adjudicatory Council (NAC) introduced new Sanction Guidelines which allow the NAC and FINRA staff to take into consideration the \u201cundue influence\u201d of registered individuals over vulnerable customers in determining appropriate sanction levels. The last update to the Guidelines occurred approximately two years ago, and included changes related to unsuitable recommendations and misrepresentations. Last month\u2019s changes to the Guidelines provide for the first time a \u201cprincipal consideration that analyzes whether a respondent has exercised undue influence over a customer.\u201d\u00a0Now listed as a specific factor for adjudicators and FINRA staff\u00a0to consider in determining appropriate sanctions is \u00a0\u201c[w]hether the respondent exercised undue influence over the customer.\u201d<\/p>\n
Read More Here<\/a><\/p>\n Additional contributors to this post:<\/p>\n Bruce M. Bettigole<\/a>, brucebettigole@eversheds-sutherland.com<\/p>\n Sarah Razaq\u00a0Sallis<\/a>,\u00a0sarahsallis@eversheds-sutherland.com<\/p>\n","protected":false},"excerpt":{"rendered":" Last month, FINRA’s National Adjudicatory Council (NAC) introduced new Sanction Guidelines which allow the NAC and FINRA staff to take into consideration the \u201cundue influence\u201d of registered individuals over vulnerable customers in determining appropriate sanction levels. The last update to the Guidelines occurred approximately two years ago, and included changes related to unsuitable recommendations and … Continue reading Senior Investors Focus of New \u201cPrincipal Consideration\u201d in FINRA Sanctions<\/span>