Santander Securities LLC—Failure to Have a Reasonably Designed Supervisory System and Procedures
Santander Securities LLC Allegedly Failed to Have a Reasonably Designed Supervisory System and Procedures Relating to Sales of Puerto Rico Municipal Bonds
Santander Securities LLC allegedly failed to maintain a reasonably designed supervisory system and procedures relating to sales of Puerto Rico Municipal Bonds (PRMB’s) to Puerto Rico customers, according to recent FINRA Letter of Acceptance, Waiver and Consent.
Santander Securities LLC also allegedly failed to have adequate systems and procedures in place to monitor for the appropriate use of margin in connection with the purchase of PRMBs or to monitor for potentially over-concentrated positions in PRMBs and Puerto Rico Closed-End Funds (PRCEFs), the AWC notes.
Santander Securities LLC also allegedly did not have adequate systems and procedures in place to monitor for the appropriate use of margin in connection with the purchase of PRMBs or to monitor for potentially over-concentrated positions in PRMBs and PRCEFs, according to the AWC.
Santander Securities LLC Fined $2 Million and Ordered Restitution of Approximately $4.3 Million in Connection with Certain Alleged Solicited Purchases of Puerto Rico Municipal Bonds
Santander Securities LLC was allegedly unable to adequately monitor for potential conflicts of interest where customer orders were filled through positions in Puerto Rico employee brokerage accounts, the AWC reports.
As a result of the aforementioned behavior, Santander Securities LLC allegedly violated MSRB, NASD and FINRA Rules, and hence has been fined $2 million by FINRA and FINRA has also ordered $4.3 million in restitution in connection with certain alleged solicited purchases of PRMB’s, the AWC notes.
It should also be noted that Santander accepted and consented, without admitting or denying the FINRA findings solely for the purposes of the FINRA proceeding and any other proceeding brought by or on behalf of FINRA, according to the AWC.
The Peiffer Wolf Carr & Kane Securities Lawyers Often Assist Investors
The Peiffer Wolf Carr & Kane securities lawyers assist investors who lose money as a result of inadequate supervisory systems. 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 inadequate supervisory systems are encouraged to contact the securities lawyers at Peiffer Wolf Carr & Kane, Jason Kane or Joe Peiffer, for a free, no-obligation evaluation of their recovery options, at (585) 310-5140.