Post by jannikki on Feb 6, 2007 17:59:40 GMT -4
Fleet specialist fined $125,000
By Aaron Siegel
February 6, 2007
NYSE Regulation Inc., the regulatory body of the New York Stock Exchange, has taken disciplinary action against the former president of a specialist firm and a former specialist.
Myles D. Gillespie, the former president and chief supervisory specialist of Fleet Specialist Inc., was fined $125,000 and barred for three years for failure to supervise certain specialists who committed interpositioning and trading ahead violations between September 2000 through June 2003.
Interpositioning is an illegal action of a specialist or broker-who inserts himself between a buyer and seller in order to make an improper profit.
Mr. Gillespie was a supervisor to David Finnerty who was convicted of securities fraud in the Southern District of New York in October.
Fleet was later renamed Bank of America Specialists, a unit of Bank of America Corp.
Thomas J. Verdiglione, a former specialist at Van der Moolen Specialists USA LLC was censured and permanently barred from employment on the NYSE trading floor for interpositioning his firm's dealer account between matchable public orders or traded ahead of customer orders between May 2000 and June 2003.
In settling these charges brought by NYSE Regulation, Mr. Gillespie and Mr. Verdiglione neither admitted nor denied the allegations.
Charges were also levied against nine other individuals for interpositioning and trading ahead, in addition to aiding and abetting the violations.
www.investmentnews.com/apps/pbcs.dll/article?AID=/20070206/REG/70206012/1022/ONLINENEWS
By Aaron Siegel
February 6, 2007
NYSE Regulation Inc., the regulatory body of the New York Stock Exchange, has taken disciplinary action against the former president of a specialist firm and a former specialist.
Myles D. Gillespie, the former president and chief supervisory specialist of Fleet Specialist Inc., was fined $125,000 and barred for three years for failure to supervise certain specialists who committed interpositioning and trading ahead violations between September 2000 through June 2003.
Interpositioning is an illegal action of a specialist or broker-who inserts himself between a buyer and seller in order to make an improper profit.
Mr. Gillespie was a supervisor to David Finnerty who was convicted of securities fraud in the Southern District of New York in October.
Fleet was later renamed Bank of America Specialists, a unit of Bank of America Corp.
Thomas J. Verdiglione, a former specialist at Van der Moolen Specialists USA LLC was censured and permanently barred from employment on the NYSE trading floor for interpositioning his firm's dealer account between matchable public orders or traded ahead of customer orders between May 2000 and June 2003.
In settling these charges brought by NYSE Regulation, Mr. Gillespie and Mr. Verdiglione neither admitted nor denied the allegations.
Charges were also levied against nine other individuals for interpositioning and trading ahead, in addition to aiding and abetting the violations.
www.investmentnews.com/apps/pbcs.dll/article?AID=/20070206/REG/70206012/1022/ONLINENEWS