State Regulatory Enforcement Actions

Securities Fraud, Misrepresentation and Broker Mismanagement Attorney, Russell L. Forkey, Esq.

Each State has its own securities department, which is charged with enforcing its own securities laws, rules and regulations. In the State of Florida, the Florida Office of Financial Regulation (OFR) was created by section 20.121(3), Florida Statutes. The mission of the OFR is “To protect the citizens of Florida by carrying out the banking, securities and financial laws of the state efficiently and effectively and to provide regulation of business that promotes the sound growth and development of Florida’s economy.”

The agency head of the OFR for purposes of rulemaking is the Financial Services Commission, comprised of the Governor, the Chief Financial Officer, the Attorney General, and the Agriculture Commissioner. The Financial Services Commission appoints the Director of the OFR, who is agency head for purposes of final agency action under chapter 120 for all areas delegated to the Director’s office. The Director, sometimes called “Commissioner,” supervises, directs, coordinates, and administers all activities of the OFR.

DIVISION OF SECURITIES

The Division is responsible for the regulation of the securities industry in, to, or from the State of Florida. Regulated entities and individuals include firms (securities dealers, issuers, state registered investment advisors and federal covered advisors), branch offices and the associated persons affiliated with these firms. The Division focuses its efforts primarily on:

• Protecting investors by conducting risk-based examinations.
• Investigating complaints involving abusive sales practice issues.
• Raising consumer awareness through outreach activities.
• Registering reputable firms, branches and agents.

The Division consists of the following functional areas:

Bureau of Regulatory Review

• Reviews applications for compliance with statutory and rule requirements.
• Processes amendments for administrative and disclosure updates.
• Processes renewal filings.
• Assists consumers and the industry by responding to inquiries.

Bureau of Securities Regulation

• Conducts on-site examinations of home and branch offices.
• Evaluates and resolves consumer complaints against firms and the

associated persons affiliated with them.

• Presents training and information to the industry and other regulators.
• Works with other states, federal securities regulators including the Securities and Exchange Commission and other self-regulatory organizations such as the Financial Industry Regulatory Authority.

The Division of Securities is responsible for the regulation of Firms and Agents registration and associated individuals and Securities Offerings.

As set forth above, the OFR is responsible for enforcing the securities laws, which is done through administrative actions. As they become available, we will provide copies of what we believe to be relevant copies of these actions as set forth in the sections of this post.