Deutsche Bank Securities broadcasted confidential information through an internal speaker system known as ‘squawk boxes ’without supervising certain employees’ access.
At least one firm employee communicated ‘potentially confidential’ or ‘material non-public information’ to customers, as a result of Deutsche Bank’s supervisory deficiencies
Brad Bennett, Finra’s head of enforcement said that Deutsche Bank’s disregard of years of red flags including internal audit findings, risk assessments and compliance recommendations was particularly egregious given the risk that material nonpublic information could be communicated over squawk boxes.
Deutsche Bank has agreed to implement a monitoring system that complies with Finra rules concerning the dissemination of trading-related information. In June, the bank agreed to pay USD 6 million fine to settle Finra allegations over inadequate submissions of blue-sheet trading data.
Every day we send out a free e-mail with the most important headlines of the last 24 hours.
Subscribe now