Broker-Dealer Aegis Capital Dealing with Examination from Finra, SEC, And FINCEN
Aegis Capital Corp., a mid-sized broker-dealer based in New York City with 415 signed up representatives, is being examined by 3 regulative firms, according to a filing with the SEC.
The Financial Industry Regulatory Authority Inc., the Securities and Exchange Commission and the Treasury Department’s Financial Crimes Enforcement Network, or FINCEN, are examining the broker-dealer, according to the filing.
The filing did not state why Aegis Capital was under examination.
” The company has actually supplied reactions to questions and the investigative case brought collectively by Finra u-4, the SEC, and FINCEN,” according to Aegis Capital’s latest yearly audited monetary declaration, which covered the duration of December 1, 2015, to November 30, 2016. “The matter remains in the discovery phase and no price quote of the impacts of an unfavorable conclusion, if any, can be made since the date of this monetary declaration.”.
Aegis Capital submitted the report with the SEC at the end of January. It normally takes many weeks for an electronic variation of a broker-dealer’s yearly audited monetary declaration, referred to as a Focus report, to appear on the SEC website.
A lawyer for Aegis Capital, Michael Ference, stated the company would not talk about any open or continuous examinations. He included, nevertheless, that no problem had been submitted by any of the regulators discussed in the filing which Aegis Capital was not present in litigation with any of the 3 regulators.
Associates at Aegis Capital work either as independent professionals or staff members, relying on the branch. The company has 16 branch workplaces, the bulk in New York City or Melville, Long Island.
Opened in 1984, Aegis Capital has 27 disclosures on its BrokerCheck profile. In an August 2015 settlement with Finra, the company accepted to pay $950,000 over claims of incorrect sales of billions of shares of unregistered cent stocks and anti-money- laundering supervisory lapses. 2 previous chief compliance officers at the company likewise were suspended and fined over the charges.
At around the exact same time, the company’s president and CEO, Robert Eide, was suspended for 15 days and fined $15,000 for cannot divulge more than $640,000 in impressive liens. Mr. Ference, Aegis Capital’s lawyer, stated at the time that the liens were pleased years before Finra started its examination which Mr. Eide had not understood the liens at the time or that he was needed to divulge them. Mr. Eide did not call back to comment.