Close Close
Popular Financial Topics Discover relevant content from across the suite of ALM legal publications From the Industry More content from ThinkAdvisor and select sponsors Investment Advisor Issue Gallery Read digital editions of Investment Advisor Magazine Tax Facts Get clear, current, and reliable answers to pressing tax questions
Luminaries Awards

Portfolio > Alternative Investments > Hedge Funds

NASD Bars Broker for Failing to Comply with Hedge Fund Investigation

Your article was successfully shared with the contacts you provided.

WASHINGTON (–An National Association of Securities Dealers Inc. hearing panel barred Scott W. Ryan and expelled Ryan & Co. LP, West Conshohocken, Pa., for lack of cooperation with an investigation into possible impermissible short selling by three hedge fund clients.

NASD spokesman Herb Perone declined to identify the three hedge funds because the investigation is ongoing.

Mr. Ryan was unavailable for comment.

As part of the investigation, the NASD requested certain documents concerning short selling and options transactions, as well as tax returns and financial statement from 1999 through 2003. Mr. Ryan and his firm provided only a small portion of the requested documents claiming that the NASD requests were burdensome and irrelevant, according to a statement from the NASD.

But the NASD hearing panel said Ryan and his firm made no effort to comply with portions of the requests and “assumed a hostile stand.”

[email protected]

Contact Robert F. Keane with questions or comments at:

[email protected].


© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.