Defendant Name:
TD Ameritrade, Inc.
Defendant Type:
Subsidiary of Public Company
Public Company Parent:
The Toronto-Dominion Bank
SIC Code:
6210
CUSIP:
87236Y10
Document Reference:
34-63829
Document Details
Legal Case Name
In the Matter of TD Ameritrade, Inc.
Document Name
Order Instituting Administrative Proceedings Pursuant to Section 15(b) of the Securities Exchange Act of 1934, Making Findings, and Imposing Remedial Sanctions
Document Date
03-Feb-2011
Document Format
Administrative Proceeding
Allegation Type
Broker Dealer
Document Summary
On February 3, 2011, the SEC instituted settled administrative proceedings against TD Ameritrade, Inc. According to the SEC: "From approximately January 18, 2007 through September 16, 2008 (the 'relevant period'), Respondent failed reasonably to supervise its registered representatives with a view to preventing their violations of Section 17(a)(2) of the Securities Act of 1933 ('Securities Act') in connection with their offer and sale of shares in the Reserve Yield Plus Fund, a mutual fund managed by The Reserve (the 'RYP Fund' or 'Fund'). Although Respondent developed and deployed training materials specifically regarding the Fund, in offering the Fund to Respondent's customers during the relevant period, Respondent's representatives at times mischaracterized the Fund as a money market fund, as safe as cash, or as an investment with guaranteed liquidity, and other times failed to disclose the nature or risks of the Fund. Respondent failed to establish policies and procedures and a system to implement the procedures which would reasonably be expected to prevent and detect such violative conduct by its representatives in the offer and sale of the Fund."
Disgorgement & Penalty Information
Resolutions
Censured
Various undertakings
Remedial Acts or Efforts Before the Resolution