July 2019 The Financial Industry Regulatory Authority (FINRA) censured and fined Aegis Capital Corp. $93,125 for its alleged failure to file certain documents specified with FINRA after it had filed such documents with the SEC. According to FINRA, these documents have yet to be filed with FINRA. In addition, the firm filed certain documents between four days and over two years late. In connection with two prospectuses, the firm purportedly failed to disclose a total of $14,000 in fees and compensation for the underwriter’s counsel, according to FINRA’s findings.
This is not the first time Aegis has been in trouble with regulators.
Aegis Capital Corp. & Broker Misconduct
There have been numerous cases of registered representatives affiliated with Aegis Capital Corp. who were allegedly involved in broker misconduct and fraudulent activities.
March 2021 - FINRA Reportedly Suspends Edmund Zack After Allegations of Excessive, Unauthorized and Unsuitable Trading
FINRA reportedly suspended former Aegis Broker, Edmund Zack (CRD#2215116) on March 19, 2021 for eight months after allegations of excessive, unauthorized and unsuitable trading. He was also fined $10,000 and ordered to pay disgorgement of $5,161 from commissions.
Between November 2014 and September 2015, Zack allegedly made unsuitable stock recommendations to, and engaged in excessive and quantitatively unsuitable trading in the Aegis account held by one of his customers, according to a Letter of Acceptance Waiver and Consent (AWC).
In October 2017, Zack also purportedly exercised discretionary trading authority to effect sales of securities in 27 customers’ accounts without having obtained prior written authorization from the customers or approval from Aegis to treat the accounts as discretionary, according to the AWC.
No comments:
Post a Comment