Derek V. Chu—Exceeded the Scope of Approved Outside Business Activity

Derek V. Chu Allegedly Failed to Provide Documents as Requested During FINRA’s Investigation that He Exceeded Scope of Outside Business Activity

Derek V. Chu allegedly failed to provide documents and information as requested during the course of FINRA’s investigation into allegations that Chu exceeded the scope of his approved outside business activity, according to a recent FINRA Letter of Acceptance, Waiver and Consent (AWC).

On April 10, 2015, FINRA sent a request to Chu that he provide documents and information no later than April 24, 2015. FINRA again sent a letter on April 15, and called him asking for information on May 4, 2015, according to the AWC. Chu, in turn, reportedly refused to cooperate with FINRA, the AWC also notes.

Derek V. Chu Permanently Barred for Failure to Provide Documents and Information as Requested During the Course of a FINRA Investigation

Derek V. Chu allegedly failed to provide documents and information as requested during the course of a FINRA investigation that he exceeded the scope of his outside business activity, the AWC also notes.

As a result, Chu allegedly violated FINRA laws, and hence, has been barred from associating with any FINRA member firm in any capacity, according to the AWC.

The AWC also reports that Chu is not currently associated with a FINRA member firm, but remains subject to FINRA’s jurisdiction.

Chu neither denied nor admitted FINRA’s allegations against him.

The Peiffer Rosca Wolf Securities Lawyers Often Provide Assistance to Investors

The Peiffer Rosca Wolf securities lawyers often represent investors who lose money as a result of registered reps exceeding the scope of their outside business activity. They take most cases of this type on a contingency fee basis and advance the case costs, and only get paid for their fees and costs out of money they recover for their clients.

Investors who believe they lost money as a result of registered reps who have exceeded the scope of their outside business activity may contact the securities lawyers at Peiffer Rosca Wolf, Alan Rosca or Joe Peiffer, for a free, no-obligation evaluation of their recovery options, at 888-998-0520.

Alan Rosca (1234 Posts)

Alan is a securities lawyer. He also teaches Securities Regulation at the Cleveland-Marshall College of Law. He focuses his legal practice on complex commercial and financial litigation and arbitration, particularly in the areas of securities and investment fraud. His office is in Cleveland, Ohio.


In our legal system, every person is innocent until and unless found guilty by a court of law or a tribunal. Whenever we reference “allegations” or charges that are “alleged,” such allegations or charges have not been proven, and are merely accusations, not findings of fault, as of the date of the blog. We do not have, nor do we undertake, a duty to continue to monitor or follow cases about which we report, and/or to publish subsequent blogs regarding various developments that may occur in such cases. Readers are encouraged to conduct their own research regarding any such cases and any developments that may or may not have occurred in such cases.