A broker-dealer settled FINRA charges for violating reporting, disclosure, distribution and supervisory requirements in connection with various public offerings.
According to FINRA, Aegis Capital Corp. ("Aegis"):
- failed to file or filed late with FINRA required documentation during public offerings;
- neglected to disclose underwriting discount and underwriters' counsel's fees, and compensation in two prospectuses;
- unlawfully acted as a distribution participant for offerings during the restricted period, in violation of Regulation M;
- misfiled Restricted Period Notifications, which were either late or did not identify all distribution participants, and failed to timely file a Trading Notification when performing as a manager of security distributions restricted under FINRA Rule 5190; and
- "failed to establish and maintain a reasonable supervisory system."
Aegis agreed to a censure and a $93,125 fine.
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