Skip to content
The DI Wire
Click Here to Subscribe to Our Free Daily News Updates

FINRA Censures and Fines William O’Neil Securities Over Private Securities Transactions

The Financial Industry Regulatory Authority announced that it has censured and fined William O’Neil Securities for failing to supervise private securities transactions, among other things.

According to FINRA, William O’Neil Securities approved two private securities transactions in March 2020 and May 2021, but failed to record the transactions on its books and records and supervise them, in violation of FINRA Rules.  Specifically, FINRA says a registered representative submitted a private securities transaction form seeking approval to participate in a private offering for a company formed to invest in real property, which the firm approved.

The representative solicited twelve individuals who invested a total of $800,000. In March 2021, the same representative submitted another private securities transaction form seeking approval to participate in a second private offering for a different company formed to invest in real property, which the firm also approved. The representative thereafter solicited thirteen individuals who invested a total of $1,300,000. The representative also received compensation in connection with these transactions. FINRA says William O’Neil Securities failed to establish and maintain a supervisory system reasonably designed to supervise private securities transactions, in violation of FINRA Rules 3110 and 2010.

Additionally, between January 2016 and June 2020, FINRA says the firm also failed to timely update the uniform applications for securities industry registration or transfer forms (forms U4) of three registered representatives to disclose eight outside business activities, in of FINRA’s By-Laws.

Also, between January 2016 and March 2021, the firm failed to establish and maintain a supervisory system reasonably designed to achieve compliance with Form U4 reporting obligations, in violation of FINRA Rules.

William O’Neil Securities agreed to a censure and to pay a $30,000 fine.

William O’Neil Securities has been a FINRA member since 1964 and provides trading and execution services on behalf of institutional brokerage clients. The firm is headquartered in Boston and employs 23 registered representatives across five branches.

Click here to visit The DI Wire directory page.