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May 20, 2015

UBS must buy back investor’s Puerto Rico bond funds for $1 mln

By Suzanne Barlyn

(Reuters) – UBS AG must buy back an investor’s
Puerto Rico bond fund portfolio for $1 million, securities
arbitrators ruled on Tuesday in a rare, lengthy rebuke of the
firm’s sales practices on the Caribbean island.

A Financial Industry Regulatory Authority (FINRA)
arbitration panel in San Juan found two UBS units liable to the
investor, Juan Burgos Rosado, whose losses in the now troubled
closed-end funds sold by the firm’s Puerto Rico arm had reached
$737,000 four years after he opened his account in 2011,
according to the ruling.

May 20, 2015

Exclusive: UBS must buy back investor’s Puerto Rico bond funds for $1 million

By Suzanne Barlyn

(Reuters) – UBS AG (UBS.N: Quote, Profile, Research, Stock Buzz) must buy back an investor’s Puerto Rico bond fund portfolio for $1 million, securities arbitrators ruled on Tuesday in a rare, lengthy rebuke of the firm’s sales practices on the Caribbean island.

A Financial Industry Regulatory Authority (FINRA) arbitration panel in San Juan found two UBS units liable to the investor, Juan Burgos Rosado, whose losses in the now troubled closed-end funds sold by the firm’s Puerto Rico arm had reached $737,000 four years after he opened his account in 2011, according to the ruling.

May 13, 2015

UBS must pay $200,000 to Puerto Rico fund investor

By Suzanne Barlyn

(Reuters) – Securities arbitrators on Wednesday ordered UBS
AG to pay an investor $200,000 for losses incurred by
its Puerto Rico closed-end bond funds, marking one of the first
rulings in a flood of cases involving the risky securities.

A Financial Industry Regulatory Authority (FINRA)
arbitration panel in Washington found two UBS units liable in
the case, which alleged securities fraud, misrepresentation and
other misdeeds, according to the ruling.

May 12, 2015

NY banking regulator to issue cybersecurity rules by year-end

NEW YORK (Reuters) – Benjamin Lawsky, New York’s financial services regulator, said on Monday he hopes to propose new cybersecurity regulations for banks and insurance companies under his aegis by year-end.

Lawsky said the regulations would aim to plug security gaps that could make financial institutions more vulnerable to hacking.

May 6, 2015

LPL to pay $11.7 mln sanction for supervision failures -FINRA

May 6 (Reuters) – LPL Financial Holdings Inc must pay $11.7
million for “widespread supervisory failures,” including sales
of a risky type of exchange traded fund and other complex
securities, Wall Street’s industry-funded watchdog said on
Wednesday.

The “supervisory breakdowns” included the firm’s lax
surveillance of trading in customer accounts, the Financial
Industry Regulatory Authority (FINRA) said. The myriad of
problems stemmed from a “sustained failure” to boost compliance
programs during the firm’s efforts to rapidly expand business
between roughly 2007 and 2013, FINRA said.