Wednesday, December 14, 2005

NASD Challenges SEC's Authority...And Loses

I have not seen the decision yet, but Reuters and the LA Times are reporting that the NASD lost an appeal of an SEC ruling. Yes, the NASD challenged the SEC's authority over it.

Something is very bizarre here, since the NASD gets its own authority from the SEC. It appears that after the NASD expelled a firm and its principal and fined them each $51,000, the firm and broker appealed to the Commission. Nothing unusual there.

The Commission reversed, lifted the explusions and reduced the fines to $1,000. The NASD then appealed, and lost.

I am trying to find the decision, and will update this post when I do. If anyone has more information, I would appreciate the assist.
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