Cantor Fitzgerald & Co has agreed to pay a fine of $ 73,000 as part of a settlement with the Financial Industry Regulatory Authority (Finra).
Between September 2017 and January 2022, the Cantor violated Article 104 of Regulation M of the 1934 Mobile Exchange Law and the 2010 Finra rule in 12 cases, submitting early notifications of its intention to participate in a trade union covering transactions.
Between February 2017 and January 2022, Cantor violated the Finra 5190 and 2010 rules in 75 cases of premature or inaccurate notifications with the Finra in relation to his involvement in security distributions subject to regulation m in accordance with the exchange law.
From at least in February 2017 to May 2024, Cantor also violated the FINRA 3110 (A), 3110 (B) and 2010 rules, failing to determine and maintain a supervisory system, including written supervisory procedures (WSPS), logically designed to achieve compliance with the rules related to the rules related to the regulation.
For these violations, Cantor was fined $ 73,000.
Regulation M is the main provision against the management of the Securities and Exchange Commission, which applies to the distributions of covered mobile values and aims to tackle manipulation, preventing individuals with interest in the outcome of the distribution from the impact of pricing these distributions and the preparation of the market.
Article 101 of Regulation M makes illegal for the contractors, brokers, publishers and other distribution participants in direct or indirectly “bid, purchase or business to ask any person to submit or buy, a covered security during the current period”.
Depending on the security, the limited period begins either one or five business days before the tender price is determined or if the limited period has already begun, a distribution participant is already begun.