Public records provided by the Financial Industry Regulatory Authority (FINRA) and accessed on November 29, 2018 indicate that New York-based brokerage and advisory firm RBC Capital Markets has been sanctioned by FINRA in connection to alleged supervisory failures. Fitapelli Kurta is interested in hearing from investors who have complaints regarding RBC Capital Markets (CRD# 31194).
According to a letter of Acceptance, Waiver and Consent (No. 20130392118-01) released by FINRA, RBC engaged in a number of regulatory failures. For instance, FINRA’s findings state, its supervisory system relating to its use of Multi-Day approach for monitoring and closing out tracked fails was not was not reasonably designed to achieve compliance with applicable rules. FINRA’s findings state that the firm improperly applied its multi-day approach, consequently failing to “implement a supervisory system reasonably designed to track, allocate, and close-out fails that resulted from bona fide market making activity by BD1” that complied with relevant rules. The firm also allegedly failed to properly close-out market making fails within the required time frame in multiple instances. In connection with these findings, FINRA sanctioned the firm and issued it a fine of $215,000.
According to the firm’s BrokerCheck report, RBC Capital Markets has received 302 regulatory events and 113 customer complaints that evolved into arbitration.
In August 2017, for instance, the State of North Carolina sanctioned the firm in connection to findings that it was “highly likely” RBC accepted transaction orders through employees who did not have appropriate licensing. The firm was issued a fine of more than $77,100.
In 2014, the Tennessee Securities Division sanctioned the firm in connection to allegations it failed to establish a supervisory system adequately designed to monitor the registration status of individuals accepting client orders, failed to establish certain written procedures, and permitted the acceptance of orders in Tennessee through representatives without proper licenses. The firm was issued a fine of more than $40,500.
In 2016 FINRA sanctioned the firm in connection to allegations it “failed to maintain approximately 172 million electronic brokerage records in non-erasable and non-rewritable format.” The firm was censured and issued a fine of $3.5 million.
In 2016 FINRA sanctioned the firm in connection to allegations that it overstated its advertised trade as a result of a computer coding error. The firm was censured and issued a fine of $975,000.
And in 2016, FINRA sanctioned the firm in connection to allegations it failed to identify and apply discounts to eligible purchases of unit investment trusts, resulting in investors paying excessive charges that totaled roughly $502,088. The firm was censured and issued a fine of $225,000.
If you or someone you know has a complaint regarding RBC Capital Markets, call Fitapelli Kurta at 877-238-4175 for a free consultation. You may be able to recover lost funds. Fitapelli Kurta accepts all cases on contingency: we only get paid if and when you collect money. You may have a limited window to file your complaint, so we encourage you to avoid delay. Call 877-238-4175 now to speak to an attorney for free.