Irony can be a pretty funny thing. For example, take Wells Fargo's much publicized cross-selling and leveraging of its customer base. By most measures, that strategy was a phenomenal success resulting in the opening of many new customer accounts. Unfortunately, that same strategy produced a $185 million fines when it turned out that 2 million of those new accounts were unauthorized. Why did Wells Fargo undertake such a dramatic push for new business? Likely to boost its bottom line and enhance its reputation. What did it cost the firm when its bogus account rampage was revealed? It took a hit to its bottom line and its credibility and integrity were hammered. How ironic, no? The gods have not quite finished playing with this mighty Wall Street firm: Consider a recent bit of irony involving an employee ripping off the firm.
Case In Point For the purpose of proposing a settlement of rule violations alleged by the Financial Industry Regulatory Authority ("FINRA"), without admitting or denying the findings, prior to a regulatory hearing, and without an adjudication of any issue, Susan Kathleen Menne submitted a Letter of Acceptance, Waiver and Consent ("AWC"), which FINRA accepted. In the Matter of Susan Kathleen Menne, Respondent (AWC 2016050193401, October 31, 2016).If you file a securities fraud claim under Section 10(b) of the Securities Exchange Act of 1934, a basic element of your proof must be to show th... Read On
Customer Complaints and Away Settlements -- Matters of Interpretation? (BrokeAndBroker.com Blog)http://www.brokeandbroker.com/5788/finra-complaint-set... Read On
A lot of what passes for misconduct on Wall Street is a matter of interpretation. You say that you did or didn't do something. Your firm's compliance ... Read On
Yet again, I say. Yet again. Wall Street's lackluster regulatory scheme fails to proactively detect an oncoming tsunami, and the markets get flooded. ... Read On
Over a decade ago, when the stock markets were cratering in the wake of the Great Recession, investors saw their pre-2009 gains vanish. Lots of black ... Read On
At its best, remorse demonstrates a pang of conscience. At its worst, it may arise only in anticipation that you are about to get caught. Contrition a... Read On