If you are citing the OTC Markets Cromwell Coulson article, he is the President, CEO, and Director of the OTC Markets. His job is to make investors comfortable with the OTC so that they will spend more money. He is not going to tell you how many times Market Makers have been caught abusing their power / violating Shorting Regulations and that many times the violations go on for years and years before they are caught if they are ever caught.
SEC Charges Citadel Securities for Violating Order Marking Requirements of Short Sale Regulations
Washington D.C., Sept. 22, 2023 —
The Securities and Exchange Commission today announced settled charges against broker-dealer Citadel Securities LLC for violating a provision of Regulation SHO, the regulatory framework designed to address abusive short selling practices, which requires broker-dealers to mark sale orders as long, short, or short exempt. These records are routinely used by regulators in policing prohibited short selling activity. To settle the SEC’s charges, Miami-based Citadel Securities agreed to pay a $7 million penalty. According to the SEC’s order, for a five-year period, it is estimated that Citadel Securities incorrectly marked millions of orders
“Compliance with the order marking requirements of Reg SHO is a key component of regulatory efforts to curtail abusive market practices, including ‘naked’ short selling,” said Mark Cave, Associate Director of the SEC’s Division of Enforcement.
Goldman Sachs fined $3M by FINRA over mismarked short sales
Wed, Apr 5, 2023 10:36 AM
Goldman Sachs was fined $3 million by the Financial Industry Regulatory Authority (FINRA) for mismarking nearly 60 million short sell orders as long and related supervision failures. From 2015-18, Goldman Sachs’s automated trading software mismarked sell orders following a system upgrade intended to simplify order flow, according to FINRA.
Merrill to Pay $850K FINRA Fine Over Short Sale Violations
October 07, 2021 at 02:37 PM
Merrill misapplied the SEC-approved Multi-day Approach on at least 6,000 occasions, FINRA alleged. From September 2013 until July 2016, Merrill violated Rule 204 of Regulation SHO and FINRA Rule 2010. Also, from January 2005 until January 2015, Merrill violated Rule 200(f) of Regulation SHO.
