The Financial Industry Regulatory Authority is seeking feedback on its rule requiring broker-dealers to report to FINRA internal violations, information regarding written customer complaints, and specified criminal actions, civil complaints and arbitration claims.
As part of a retrospective review of its rules, the self-regulator wants comments by March 9 on Rule 4530, which also contains provisions obligating associated persons to promptly report to their member firms the existence of certain reportable events.
In Regulatory Notice 20-02, FINRA explains that it requires member firms to report the specified events, internal conclusions of violations, and customer complaint information electronically via the Firm Gateway.
When reporting the specified events and internal conclusions of violations, member firms must submit a disclosure event report.