Revere Securities LLC has been fined $125,000 and censured by the Financial Industry Regulatory Authority (FINRA) for improperly marking thousands of trade orders as unsolicited over a ten-year period.
Revere Securities Fined $125,000 by FINRA
According to FINRA, between April 2013 and February 2023, Revere mismarked approximately 19,000 order tickets related to syndicate offerings, including initial public offerings (IPOs), bonds, and real estate investment trusts (REITs).
The firm reportedly classified these transactions as unsolicited, despite its registered representatives having solicited most of the trades.
The misclassification led to inaccurate books and records, according to FINRA. This is said to have violated Section 17(a) of the Securities Exchange Act of 1934, Rule 17a-3, and FINRA Rules 4511 and 2010. A regulatory tip led to the investigation.
“Marking a solicited transaction as unsolicited makes the record of the transaction inaccurate,” FINRA stated in its letter of acceptance, waiver, and consent.
The organisation emphasised that accurate recordkeeping is essential to market transparency and regulatory compliance.
As part of the settlement, Revere neither admitted nor denied the findings but agreed to the fine and censure. The firm has also waived its rights to contest the decision and committed to paying the fine upon acceptance of the agreement.
Revere Securities, a FINRA member since 1983, is headquartered in New York and employs 32 registered representatives across three branches.
