{"id":5667,"date":"2014-08-26T00:00:00","date_gmt":"2014-08-26T05:00:00","guid":{"rendered":"https:\/\/institutionalinvestorsecuritiesblog.blawgcloud.com\/2014\/08\/finra_claims_wedbush_securitie"},"modified":"2022-05-19T13:43:49","modified_gmt":"2022-05-19T18:43:49","slug":"finra-claims-wedbush-securitie","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/finra-claims-wedbush-securitie\/","title":{"rendered":"FINRA Claims Wedbush Securities Engaged in Supervisory and Anti-Money Laundering Violations"},"content":{"rendered":"<p>The Financial Industry Regulatory Authority has filed a disciplinary complaint against Wedbush Securities Inc. that accuses the firm of violations related to anti-money laundering and systemic supervision. The self-regulatory organization says that from January 2008 through August 2013, Wedbush did not put enough of its resources towards supervisory systems, risk-management controls, and procedures. At the time, the firm was one of the largest market access providers, making millions of dollars from the business.<\/p>\n<p>Because of purported violations, contends FINRA, market-access customers, including non-registered participants, were able to permeate U.S. exchanges and make thousands of trades that could have been manipulative and may have even involved spoofing and manipulative layering. The agency says that even though it was Wedbush\u2019s duty to look out for suspect and possibility manipulative trades, the firm depended mostly on its market access customers to self-report such trading, as well as self-monitor.<\/p>\n<p>FINRA contends that even though Wedbush received notice about the risks involved in its market access business, the firm \u2018s supervisory procedures and risk management controls were not reasonably designed to deal with these factors. Wedbush even established incentives for compensation to be based on the value of market customer access trading. FINRA says that Wedbush should have set up, kept up, and enforced satisfactory AML policies and procedures, and it purportedly failed to report suspect transactions.<\/p>\n<div class=\"read_more_link\"><a href=\"https:\/\/www.investorlawyers.com\/blog\/finra-claims-wedbush-securitie\/\"  title=\"Continue Reading FINRA Claims Wedbush Securities Engaged in Supervisory and Anti-Money Laundering Violations\" class=\"more-link\">Continue Reading \u203a<\/a><\/div>\n","protected":false},"excerpt":{"rendered":"<p>The Financial Industry Regulatory Authority has filed a disciplinary complaint against Wedbush Securities Inc. that accuses the firm of violations related to anti-money laundering and systemic supervision. The self-regulatory organization says that from January 2008 through August 2013, Wedbush did not put enough of its resources towards supervisory systems, risk-management controls, and procedures. At the [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3752,3739,3985],"tags":[],"class_list":["post-5667","post","type-post","status-publish","format-standard","hentry","category-financial-firms","category-finra","category-wedbush-securities"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>FINRA Claims Wedbush Securities Engaged in Supervisory and Anti-Money Laundering Violations &#8212; Investor Lawyers Blog &#8212; August 26, 2014<\/title>\n<meta name=\"description\" content=\"FINRA has filed a disciplinary complaint against Wedbush Securities Inc. accusing the firm of anti-money laundering and systemic supervision violations\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.investorlawyers.com\/blog\/finra-claims-wedbush-securitie\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"FINRA Claims Wedbush Securities Engaged in Supervisory and Anti-Money Laundering Violations &#8212; 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Investor Lawyers Blog &#8212; August 26, 2014","twitter_description":"FINRA has filed a disciplinary complaint against Wedbush Securities Inc. accusing the firm of anti-money laundering and systemic supervision violations","twitter_misc":{"Written by":"Shepherd Smith Edwards &amp; Kantas, LLP","Est. reading time":"2 minutes"},"schema":{"@context":"https:\/\/schema.org","@graph":[{"@type":"Article","@id":"https:\/\/www.investorlawyers.com\/blog\/finra-claims-wedbush-securitie\/#article","isPartOf":{"@id":"https:\/\/www.investorlawyers.com\/blog\/finra-claims-wedbush-securitie\/"},"author":{"name":"Shepherd Smith Edwards &amp; Kantas, LLP","@id":"https:\/\/www.investorlawyers.com\/blog\/#\/schema\/person\/e0240e0754684b69f7d6a7de1b9f1431"},"headline":"FINRA Claims Wedbush Securities Engaged in Supervisory and Anti-Money Laundering Violations","datePublished":"2014-08-26T05:00:00+00:00","dateModified":"2022-05-19T18:43:49+00:00","mainEntityOfPage":{"@id":"https:\/\/www.investorlawyers.com\/blog\/finra-claims-wedbush-securitie\/"},"wordCount":417,"articleSection":["Financial Firms","FINRA","Wedbush Securities"],"inLanguage":"en-US"},{"@type":"WebPage","@id":"https:\/\/www.investorlawyers.com\/blog\/finra-claims-wedbush-securitie\/","url":"https:\/\/www.investorlawyers.com\/blog\/finra-claims-wedbush-securitie\/","name":"FINRA Claims Wedbush Securities Engaged in Supervisory and Anti-Money Laundering Violations &#8212; 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