WHAT SHOULD I DO IF I’M UNDER A FINRA INVESTIGATION?

WHAT SHOULD I DO IF I’M UNDER A FINRA INVESTIGATION?

If you’re on this page, it’s because you—or someone close to you—has FINRA breathing down your neck. We get it. At Spodek Law Group, we understand the stress of being under a regulatory microscope. Our law firm handles complex financial and federal cases, and we’re here to guide you through every step of this challenge.

WHY FINRA INVESTIGATIONS ARE A BIG DEAL

FINRA, which is the Financial Industry Regulatory Authority (visit FINRA’s official website here), can penalize brokers and firms for violating securities rules. Penalties that are imposed by FINRA can include heavy fines, suspension from the industry, or even permanent bans.

Once a FINRA investigation starts, your career, your reputation, and your future are all on the line. It’s that serious. Mess it up, and you could lose your license or face public fines that harm your standing forever.

EXAMPLES OF POSSIBLE FINRA PENALTIES

• Large Monetary Fines: Fines that can cost you tens (or even hundreds) of thousands of dollars, which is money that might drain your savings and jeopardize your family’s well-being.
• Suspensions: A suspension that was handed down by FINRA may disrupt your ability to practice—resulting in an income freeze and huge professional setbacks.
• Permanent Bar: This is the nuclear option. If you’re barred, you can’t work in the securities industry ever again, which means a lifetime of lost opportunities.

WHAT ACTUALLY TRIGGERS THESE INVESTIGATIONS?

FINRA investigations often pop up if there’s a complaint that was filed by a client, or if an internal audit uncovers suspicious activity. It might be allegations of churning, misrepresentation, or other rule violations that can make FINRA zero in on you. Let’s be clear: once you’re in their crosshairs, you need to protect yourself, fast.

Here’s the bottom line: ignoring the problem won’t help, and trying to “just explain it away” might cause more trouble. You want to respond the right way, not give the regulator extra ammo against you.

STRATEGIES WE USE TO DEFEND YOU

Spodek Law Group has a seasoned team of federal and state defense attorneys who know how to handle regulators. We believe in being proactive, rather than just waiting for a letter of discipline to show up. If you reach out to us, here’s how we typically defend individuals under a FINRA investigation:

• Gather Facts: We investigate every corner of the allegations. Evidence that was obtained in violation of your rights may be challenged or even thrown out, leading to a weakened case against you. When evidence is compromised, it can reduce potential penalties significantly.
• Review Prior Conduct: If your record was previously spotless, we highlight your clean disciplinary history. That often influences the severity of the penalties; first-time offenders sometimes receive leniency, which can mean a lighter sanction.
• Negotiation With FINRA: We leverage our experience to push for settlement deals that keep you in good standing. If your case is strong, we fight to dismiss or minimize all charges, so you can continue your career without a huge blot on your name.

We don’t sugarcoat anything. Our job is to win—or at least minimize the damage. That means no excuses, no whining. If a settlement is your best bet, we’ll say so. If we think you have a shot at beating the investigation outright, we’ll gear up for a fight.

WHAT HAPPENS IF YOU IGNORE A FINRA INVESTIGATION

People who are under a FINRA investigation and do nothing often face the worst outcomes. You can be held in default if you refuse to cooperate, and that means FINRA can impose sanctions without your input. Try living with a default judgment that labels you as “uncooperative.” It’s a career killer.

It’s crucial to respond to any requests for documents or interviews carefully, so you don’t accidentally hurt your own case. One slip—like turning in incomplete records—can backfire badly. And once FINRA sees contradictions, that can raise a red flag, leading to more severe penalties.

CALL US BEFORE IT’S TOO LATE

If you’ve received a notice that was sent by FINRA, or you know they’re sniffing around your records, time is of the essence. Spodek Law Group is here 24/7 to offer a risk-free consultation. We’ll talk through what’s happening, spell out the possible outcomes, and map a plan of attack. Our attorneys have over 50 years of combined experience dealing with federal and regulatory matters. We’re a nationwide law firm that can step in at any stage of your case.

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WE’RE ON YOUR SIDE—LET’S FIGURE THIS OUT

Our philosophy is simple: clients come first. If you’re in trouble and need us, we’re here to help—and we won’t let you slack off or pretend this isn’t serious. Let’s focus on finding solutions. Let’s keep you in business. Let’s protect your future.

Reach out today. We’ll start building a robust defense, and we’ll push to resolve the investigation in a way that doesn’t wreck your life.

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We are available 24/7 to speak. If you’re in the middle of a FINRA investigation, or even if you just suspect one is coming—call us now for a risk-free consultation.