My role as the publisher of the BrokeAndBroker.com Blogoften involves summarizing rambling legal documents or trying to convey the gist of a complicated lawsuit or enforcement action. There are times, however, when putting things into my own words may convey the impression that I am trying to spin things in order to make a point (and, yeah, sometimes I'm guilty as charged). In my opinion, a recent Financial Industry Regulatory Authority disciplinary proceeding presents an outrageous bit of misconduct by the registered representative respondent. Confronted with the lurid details of the violations and in order to present an unvarnished picture of what happened, I have extracted large swaths of verbatim quotes from FINRA's Office of Hearing Officers and the National Adjudicatory Council decisions. This one you truly have to read to believe! READ
In a recently filed Complaint in the United States Distrcit Court for the Southern District of New York ("SDNY"), Plaintiff Megan Messina alleges that Bank of America sexually discriminated against her as a result of "gender disparities in compensation and business opportunities at the nation's largest bank and brokerage firm." Further, Messina alleges that she was retaliated against in violation of Sarbanes-Oxley Act of 2002 and the whistleblower protective provisions of the Dodd-Frank Wall Street Reform and Consumer Protection Act. Megan Messina, Plaintiff, v. Bank Of America Corporation, Bank Of America Securities, LLC, and Merrill Lynch, Pierce, Fenner & Smith Incorporated, Defendants (Complaint, SDNY, 16-CV-03653, May 16, 2016). READ FULL TEXT COMPLAINT
In the high-profile Naked Shorting case of Merrill Lynch v. Manning the Supreme Court affirmed the 3rd Circuit on the issue of whether Section 27 of the '34 Act provided federal jurisdiction over state-law claims. READ the FULL-TEXT Supreme Court and lower courts' opinions at BrokeAndBroker.com Blog.
Many popular songs contain a nugget of wisdom; however, we often find ourselves humming the tune but forgetting the lyrics. On that busy byway of Wall Street, the formidable warning of Joni Mitchell's classic "Big Yellow Taxi" is regularly lost upon management. Oh sure, those in the C-suites may remember something about a big yellow taxi or the paving over of paradise, but it's that critical line about not knowing what you've got till it's gone that they just don't quite recall. That's a shame because if you ask former industry employees, you will frequently hear their refrain about how they quit their job because they never felt appreciated -- and when that yellow cab pulled up, they jumped in and gladly paid the fare and added a nice tip for the ride to a new employer. READ