The Financial Industry Regulatory Authority (FINRA) has charged that Morgan Stanley’s anti-money laundering (AML) program was beset with supervisory failures for more than five years. Those failures allegedly violated the Bank Secrecy Act and have resulted in a formal censure and a $10 million FINRA fine. The various charges encompass the period from 2011 to… Read More >>
MUFG Subsidiary Hit with Spoofing Fines & Penalties
Mitsubishi UFJ Morgan Stanley Securities Co., Ltd. (MUMSS) has been fined and penalized on charges that it used spoofing tactics while engaging in the proprietary trading of Japanese government bond futures, which it will have to suspend from Oct. 9 to Oct 11 as a disciplinary measure. The actions were taken by the Osaka Exchange… Read More >>
CFTC Penalizes Morgan Stanley for Large Trader Omissions
The CFTC has ordered Morgan Stanley and Co. to pay a $350,000 penalty for omitting futures and options data from its required part 17 large trader reports. Morgan Stanley’s omissions spanned a 10-year period, from 2007 to 2017, and affected “thousands of line items of information,” according to the CFTC’s order, which simultaneously filed and… Read More >>
Morgan Stanley’s FCM Subsidiary Penalized $500,000
The CFTC has settled charges against Morgan Stanley & Co. LLC, for “failing to diligently supervise the reconciliation of exchange and clearing fees with the amounts it ultimately charged customers for certain transactions on the CME Group, ICE Futures US, and other exchanges.” Headquartered in New York City, Morgan Stanley & Co., or MSCO, is… Read More >>
Frankfurt Leads in Race to Be Next E.U. Financial Hub
As U.K. and European Union officials battle it out over Brexit financial settlements and border resolutions, Paris, Amsterdam, Dublin and Frankfurt are vying to be the city of choice for London-based financial institutions searching for a new European base. Competition is fierce but Germany’s largest city and financial capital, already home to the European Central… Read More >>
Ex-Reuters CEO Tom Glocer Joins Morgan Stanley Board
New Lead Director and New Board Committee Chairs at Morgan Stanley Morgan Stanley reports that Reuters veteran Thomas Glocer has been appointed independent lead director of the board of directors, taking over from Erskine Bowles, effective September 1, 2017. Glocer was appointed by the board’s independent directors. Glocer’s appointment “reflects the Board’s governance policy of… Read More >>
Brexit-Born Bank Exodus Begins
Frankfurt and Dublin are emerging as the favorite hotspots for foreign banks as United Kingdom and continental European negotiators hammer out a Brexit deal by March 2019. Although many observers believe that the Brexit process will take longer than the earmarked two-year period, there has been a spate of announcements because banks, fund managers, insurers… Read More >>
Morgan Stanley Penalized Again for Improper ETF Sales
Morgan Stanley Smith Barney (MSSB) will pay an $8 million penalty and has admitted wrongdoing to settle charges related to single inverse Exchange Traded Fund (ETF) investments it recommended to advisory clients, according to the SEC, which finds that Morgan Stanley “did not adequately implement its policies and procedures to ensure that clients understood the… Read More >>
Wall Street Banks Push Back on Trump Travel Ban
President Donald J. Trump’s executive order banning people traveling to and from seven countries in the Middle East has had many ripple effects across many circles, including Wall Street. Yet, while the political ramifications have been explosive, the staffing and hiring impacts may turn out to be minimal for Wall Street firms, according to key… Read More >>
Morgan Stanley Settles Customer Reserves Case
Morgan Stanley & Co. has agreed to pay a $7.5 million civil penalty as part of a settlement with the SEC over allegations that the firm violated the regulator’s Customer Protection Rule. The rule governs “customers’ cash and securities so that they can be promptly returned should the broker-dealer fail,” SEC officials say. However, “complex… Read More >>
