Defendant Name: LPL Financial LLC

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

Document Reference: 34-100709

Document Details

Legal Case Name In the Matter of LPL Financial LLC
Document Name 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
Document Date 14-Aug-2024
Document Format Administrative Proceeding
File Number 3-22006
Allegation Type Investment Advisers/Investment Companies
Document Summary 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”)."

Disgorgement & Penalty Information

Resolutions
Cease and Desist Order
Censured
Compliance Related Independent Consultant
Other Compliance Related Undertaking
Cooperation Before the Resolution
Remedial Acts or Efforts Before the Resolution
Monetary Penalties:

Civil Penalty

Individual:     $50,000,000.00 Shared:    

Related Documents:

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."
34-102348 05-Feb-2025 Commission Order and Opinion
Order Granting Extension of Time
The Commission ordered that: "the Division shall file its response to the respondent’s motion by February 13, 2025."
34-102860_3-22006 14-Apr-2025 Commission Order and Opinion
Order Denying Motions to Modify or Amend and Stay Settled Orders
The Commission says Respondents "signed offers of settlement, in which Respondents admitted to certain violations related to their employees' communications on personal devices." "Respondents now seek to (1) modify their Settled Orders . . . and (2) stay the effectiveness of their undertakings" in order to "'equalize' certain undertakings . . . with those contained in more recent Commission settlements." However, the Commission "den[ied] Respondents' motions."