A broker-dealer and the firm's president and chief compliance officer ("CCO") settled NYSE American (the "Exchange") charges for improper use of error accounts, and discretionary transaction, recordkeeping, supervision and control violations.
In a Letter of Acceptance, Waiver and Consent, the Exchange found violations of SEA Rule 11a-1(a) ("Regulation of Floor Trading") and related NYSE American regulations requiring compliance with the rule.
The Exchange found that the individual (i) improperly engaged in discretionary trading in a personal account, and (ii) improperly executed trades using the firm's error account. Additionally, the Exchange alleged that the individual violated recordkeeping and reporting rules.
To settle the charges, the individual agreed to (i) a censure, (ii) a $150,000 fine, (iii) a supervisory bar for five years with a right to reapply, and (iv) a three-week suspension from the trading floor of the Exchange. The broker-dealer agreed (i) to a censure, and (ii) to appoint a new CCO and supervisor.
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