Tim O'Connor's Blog

In FINRA Regulatory Notice 12-05 (Jan. 2012), the Financial Industry Regulatory Authority (FINRA) cited an increase in the number of reported cases of money stolen from customer accounts as a result of bogus e-mail instructions from e-mail accounts of customers, which had been hacked by scam artists.  In addition to FINRA’s recent notice, the Federal […]

The State of Vermont Legislature has passed consumer fraud laws to protect Vermont citizens from unfair and deceptive business practices.  These laws are also designed to encourage a commercial environment highlighted by integrity and fairness.  Relief is available to defrauded consumers under Vermont’s consumer fraud laws (9 V.S.A. §2451, et seq.).  This law was enacted […]

The FINRA Office of Dispute Resolution has reported the filing of a number of claims by investors who have sustained losses as a result of short selling strategies recommended by their brokers.  So, what is a short sale anyway? Short selling involves the sale of shares of a stock in a publicly-traded corporation in a […]

In Regulatory Notice 12-08, effective January 26, 2012, the Financial Industry Regulatory Authority (IFNRA), citing the regulations of the Financial Crimes Enforcement Network (FINCEN) regarding Suspicious Activity Reports (SAR’s), now requires brokerage firms to make such SAR reports and supporting documents and information available to regulatory authorities.

In Regulatory Notice 12-05, the Financial Industry Regulatory Authority (FINRA) noted an increasing number of reports of customer funds stolen due to e-mail instructions received from compromised customer e-mail accounts.  The Notice highlights risks associated with non-genuine instructions to transmit or withdraw funds via e-mail.    The Notice includes a requirement of the implementation of […]