Investigations and Sanctions

What this video covers

• The five conduct patterns that most often trigger FINRA enforcement against Series 6 representatives: unsuitable variable annuity exchanges, share class abuse, breakpoint avoidance, late trading or market timing, and unauthorized transactions
• How the enforcement pipeline compounds from complaint, to Office of Supervisory Jurisdiction (OSJ) file, to event report, to U-4 amendment, to FINRA surveillance trigger
• Why the FINRA information-and-testimony rule is self-executing and what refusing to comply means for a representative's registration status
• The complete FINRA sanction menu and why heightened supervision is an oversight condition, not an official sanction
• What triggers statutory disqualification under the Securities Exchange Act, including the ten-year conviction window and the zero-minimum rule for current self-regulatory organization (SRO) suspensions
• Why willful false statements on registration forms are an independent statutory disqualification trigger
• How the Form MC-400 eligibility proceeding works and why heightened supervision typically attaches as a condition of return