Another group of broker-dealer and investment advisers have agreed to pay over $470 million to U.S. regulators to settle civil charges they violated recordkeeping rules, the U.S. Securities and Exchange Commission and Commodity Futures Trading Commission said in statements on Wednesday.
Toronto-Dominion Bank’s TD Securities, BNY and Truist were among the Wall Street firms that settled charges they violated regulators’ rules requiring broker-dealers and investment advisers to maintain records of work-related communications, the SEC and CFTC said.
Representatives for most firms did not respond immediately to requests for comment. A spokesperson for BNY said the firm takes its regulatory responsibilities seriously, while TD said it was investing in technology and improving its electronic communications policies. RBC said it would continue to enhance its compliance protocols.
The penalties mark the latest wave of a sweeping multi-year enforcement initiative targeting Wall Street’s use of so-called “off channel” work communications such as text and WhatsApp messages in breach of rules which require firms to retain certain work-related communications.
Below is a full list of the firms and the penalties they agreed to pay.
| Ameriprise Financial Services, LLC: $50 million penalty to the SEC | |
| Edward D. Jones & Co., L.P.: $50 million penalty to the SEC | |
| LPL Financial LLC: $50 million penalty to the SEC | |
| Raymond James & Associates, Inc.: $50 million penalty to the SEC | |
| RBC Capital Markets, LLC: $45 million penalty to the SEC | |
| BNY Mellon Securities Corporation, Pershing LLC: $40 million penalty to the SEC | |
| TD Securities (USA) LLC, TD Private Client Wealth LLC and Epoch Investment Partners: $30 million penalty to SEC, $75 million to CFTC | |
| Osaic Services, Inc., Osaic Wealth, Inc.: $18 million penalty to the SEC | |
| Cowen and Company, LLC, Cowen Investment Management LLC: $16.5 million penalty to the SEC, $3 million to the CFTC | |
| Piper Sandler & Co.: $14 million penalty to the SEC | |
| First Trust Portfolios L.P.: $8 million penalty to the SEC | |
| Apex Clearing Corporation: $6 million penalty to the SEC | |
| Truist Securities, Inc., Truist Investment Services, Inc. and Truist Advisory Services, Inc: $5.5 million penalty to SEC, $3 million to CFTC | |
| Cetera Advisor Networks LLC, Cetera Investment Services LLC: $4.5 million penalty to the SEC | |
| Great Point Capital, LLC: $2 million penalty to the SEC | |
| Hilltop Securities Inc.: to pay a $1.6 million penalty to the SEC | |
| P. Schoenfeld Asset Management LP: $1.25 million penalty to the SEC | |
| Haitong International Securities (USA) Inc.: $400,000 penalty to the SEC | |
(Reporting by Chris Prentice and Douglas Gillison, additional reporting by Nivedita Balu; Editing by Josie Kao)
Topics USA
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