Tr?id=566623520170033&ev=PageView&noscript=1

ÍøÆØ³Ô¹Ï

FINRA Disciplinary Actions Rise for the First Time Since 2016

Posted on March 17th, 2025 at 11:51 AM
FINRA Disciplinary Actions Rise for the First Time Since 2016

From the desk of Jim Eccleston at ÍøÆØ³Ô¹Ï

The Financial Industry Regulatory Authority (FINRA) increased its enforcement actions in 2024, marking the first rise in disciplinary cases since 2016, as reported by AdvisorHub.

FINRA initiated 552 enforcement actions last year, a 22 percent increase from 453 in 2023. The cases include settlements and complaints against individual advisors and firms, were tracked through FINRA’s disciplinary database ahead of the regulator’s official report.

Although disciplinary actions increased, total monetary sanctions declined. FINRA imposed $87 million in penalties last year, down 14 percent from $101 million in 2023. Fines dropped 35 percent to $59 million, largely due to the absence of a major penalty like the $24 million fine against Bank of America Securities in 2023.

However, restitution payments surged 207 percent year-over-year to $23 million. This increase was driven by a December enforcement action against Edward Jones, Osaic ÍøÆØ³Ô¹Ïalth, and Cambridge Investment Research, according to AdvisorHub. The firms were ordered to pay a combined $8.2 million in restitution to customers who were improperly charged commissions on mutual fund sales.

AdvisorHub reports that FINRA’s enforcement activity has remained strong into 2025. In one of its first major settlements of the year, two units of Robinhood Markets Inc. agreed to pay $26 million to settle allegations that they failed to respond to red flags about potential misconduct and did not verify the identities of thousands of customers.

 

ÍøÆØ³Ô¹Ï LLC represents investors and financial advisors nationwide in securities, employment, transition, regulatory, and disciplinary matters.

Tags: eccleston, eccleston law, finra

Return to Archive

TESTIMONIALS

Previous
Next
Quotes Bigger

Jim, Stephany and the whole team were a God send.  ÍøÆØ³Ô¹Ï felt like we were put into a situation where we had no advocate. Jim’s team came in with a strong, well laid out strategy on how to get our story heard. Where our outside compliance company had no ability to help, our Broker Dealer was impenitent, and the regulators were aggressive pursuing vague rules, Jim came like a barricade against an assault we did not understand. Though you pay member dues to be affiliated with FINRA and a B/D, you have no voice. The only thing that is truly heard in this un-level playing field is a bulldog’s bark like Jim’s. I would encourage anyone to call Jim and his team to find a real ally in the tough and complicated world of securities regulation. They are truly the best.

Greg P.

LATEST NEWS AND ARTICLES

1778000603 Law
May 5, 2026
Commonwealth Financial Network Resolves SEC Conflict of Interest Case

Commonwealth Financial Network has agreed to pay $5 million to resolve a long-standing conflict of interest case brought by the Securities and Exchange Commission, according to reporting by ThinkAdvisor.

1777908810 Law
May 4, 2026
KKR Limits Redemptions in Private Credit Fund Amid Rising Investor Withdrawals

KKR & Co.

1777663103 Law
May 1, 2026
Former Texas Advisor Pleads Guilty in Multi-Million Dollar Ponzi Scheme

A former financial advisor and media personality in San Antonio has admitted to defrauding clients in a large-scale Ponzi scheme involving hundreds of investors and millions of dollars, according to reporting by Financial Advisor News.