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Attorney General Beau Biden settles with RBC Capital Markets Regarding Unlicensed Securities Salespeople

Consumer Protection | Department of Justice | Department of Justice Press Releases | Fraud | Date Posted: Thursday, November 7, 2013



Delaware – Attorney General Beau Biden announced today that RBC Capital Markets, LLC has paid the Delaware Department of Justice $33,520.17 as part of a settlement with the Attorney General’s Investor Protection Unit. The settlement concludes a multi-state investigation which found that RBC allowed its client associates to sell securities without being properly registered. State law requires all who sell stocks and securities to Delaware investors to register with the DOJ’s Investor Protection Unit.

 

“We will continue to ensure that the securities market in Delaware adequately protects investors,” said Attorney General Biden. “This settlement holds RBC accountable for its failures to keep track of its employees who sell investments to Delawareans.”

 

The states’ investigation found that RBC client associates were able to accept trade orders from clients, an act that requires registration in both the client associate’s home state and the client’s state. The investigation found that not all client associates were properly registered, and that RBC’s systems were not reasonably designed to prevent this from happening.  As part of the settlement, RBC has agreed to establish and maintain systems that require client associates to be properly registered in Delaware and other states.

 

The multi-state task force investigating this matter consists of state securities regulators from Delaware, Colorado, Missouri, New Hampshire, New Jersey, Texas, and Vermont. State securities regulators, including DOJ’s Investor Protection Unit, continue to investigate similar misconduct by other firms.

 

The Investor Protection Unit, formerly known as the Securities Division, enforces the Delaware Securities Act and seeks to protect the public from potentially fraudulent, unscrupulous, or overreaching practices of those offering investments or investment services within Delaware. Investors who believe they have been the victims of such practices should immediately contact the Investor Protection Unit Hotline at (302) 577-8841.

 

Delaware’s participation in the multistate investigation that led to the settlement was handled by Investor Protection Director Owen Lefkon and Assistant Attorney General David Casler.

 

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Attorney General Beau Biden settles with RBC Capital Markets Regarding Unlicensed Securities Salespeople

Consumer Protection | Department of Justice | Department of Justice Press Releases | Fraud | Date Posted: Thursday, November 7, 2013



Delaware – Attorney General Beau Biden announced today that RBC Capital Markets, LLC has paid the Delaware Department of Justice $33,520.17 as part of a settlement with the Attorney General’s Investor Protection Unit. The settlement concludes a multi-state investigation which found that RBC allowed its client associates to sell securities without being properly registered. State law requires all who sell stocks and securities to Delaware investors to register with the DOJ’s Investor Protection Unit.

 

“We will continue to ensure that the securities market in Delaware adequately protects investors,” said Attorney General Biden. “This settlement holds RBC accountable for its failures to keep track of its employees who sell investments to Delawareans.”

 

The states’ investigation found that RBC client associates were able to accept trade orders from clients, an act that requires registration in both the client associate’s home state and the client’s state. The investigation found that not all client associates were properly registered, and that RBC’s systems were not reasonably designed to prevent this from happening.  As part of the settlement, RBC has agreed to establish and maintain systems that require client associates to be properly registered in Delaware and other states.

 

The multi-state task force investigating this matter consists of state securities regulators from Delaware, Colorado, Missouri, New Hampshire, New Jersey, Texas, and Vermont. State securities regulators, including DOJ’s Investor Protection Unit, continue to investigate similar misconduct by other firms.

 

The Investor Protection Unit, formerly known as the Securities Division, enforces the Delaware Securities Act and seeks to protect the public from potentially fraudulent, unscrupulous, or overreaching practices of those offering investments or investment services within Delaware. Investors who believe they have been the victims of such practices should immediately contact the Investor Protection Unit Hotline at (302) 577-8841.

 

Delaware’s participation in the multistate investigation that led to the settlement was handled by Investor Protection Director Owen Lefkon and Assistant Attorney General David Casler.

 

image_printPrint

Related Topics:  , , ,


Graphic that represents delaware news on a mobile phone

Keep up to date by receiving a daily digest email, around noon, of current news release posts from state agencies on news.delaware.gov.

Here you can subscribe to future news updates.