Defendant Name: LPL Financial LLC

Defendant Type: Subsidiary of Public Company
Public Company Parent: LPL Financial Holdings Inc.
SIC Code: 9999
CUSIP: 50212V10

Initial Case Details

Legal Case Name In the Matter of LPL Financial LLC
First Document Date 14-Aug-2024
Initial Filing Format Administrative Action
File Number 3-22006
Allegation Type Broker Dealer

Violations Alleged

Other
• Failure to supervise under Section 203(e)(6) Advisers Act

Resolutions

First Resolution Date 14-Aug-2024
Headline Total Penalty and Disgorgement $50,000,000

Related Documents:

34-100709 14-Aug-2024 Administrative Proceeding
Order Instituting Administrative and Cease-And-Desist Proceedings, Pursuant To Sections 15(b) and 21C of the Securities Exchange Act of 1934 and Sections 203(e) and 203(k) of the Investment Advisers Act of 1940, Making Findings, and Imposing Remedial Sanctions and a Cease-and-Desist Order
On August 14, 2024, the SEC instituted administrative cease-and-desist proceedings against LPL Financial LLC, stating: "These proceedings arise out of the widespread and longstanding failure of LPL’s investment adviser representatives (“IARs”), registered representatives, and/or employees (collectively, "personnel”) throughout the firm to adhere to certain of these essential requirements and the firm’s own policies. Using their personal devices, these personnel communicated both internally and externally by text messages and/or other unapproved written communications platforms (“off-channel communications”)."
2024-98_3-22006 14-Aug-2024 Press Release--Administrative Proceeding
Twenty-Six Firms to Pay More Than $390 Million Combined to Settle SEC's Charges for Widespread Recordkeeping Failures
On August 14, 2024, the SEC "announced charges against 26 broker-dealers, investment advisers, and dually-registered broker-dealers and investment advisers for widespread and longstanding failures by the firms and their personnel to maintain and preserve electronic communications."