Received a FINRA 8210 Request? Here’s What to Do.

Did you receive an 8210 Request from FINRA and do not know what to do? Are you asking yourself, “what is an 8210 Request?” FINRA law firms based in New York, like Malecki Law, can help.

FINRA Rule 8210 provides that, “[f]or the purpose of an investigation, complaint, examination, or proceeding…FINRA staff shall have the right to” require a registered financial professional to provide certain documents and information. This continues for a period of time even after you are no longer in the industry. You always need to keep your address and contact information current with FINRA or face a default bar from the securities industry.

Generally, an 8210 Request is synonymous to a subpoena, as both are documents seeking documents and information from the recipient. Because you are a registered financial professional (i.e., by way of any FINRA Series licensing exams), you are automatically under FINRA’s jurisdiction and can be required to respond to an 8210 Request.

It is important to get counsel at the earliest time – FINRA will have counsel and every word will be scrutinized. Moreover, there may be mitigating factors you want to highlight. Counsel can make a difference. Sometimes, the investigation initiated by the 8210 Request will conclude after your first response to requests and accompanying document production (if any) In this instance, you may receive a “No Action Letter” or a “Cautionary Action Letter,” confirming in writing that the investigation has concluded, or the investigation may just close with no further action required of you. There will be no public facing BrokerCheck disclosure. Other times, FINRA may have follow-up requests, or may even ask you for an on-the-record interview (OTR), which is like a testimony in court. If you are asked to provide an OTR, you should consult with a FINRA attorney, like the attorneys at Malecki Law, as soon as possible to prepare in advance.

FINRA Regulatory Notice 19-23 explains that there are several ways an 8210 Request recipient can provide “substantial assistance” to FINRA’s overall investigation, which can may result in a “credit” toward the individual’s outcome, such as applicable sanctions that may be imposed upon them. This of course must be beyond merely complying with and responding to the regulator’s requests. One way in which a recipient can substantially assist is volunteering relevant and helpful information.

How you respond to and cooperate with the 8210 Request is very important. If your responses are vague and unresponsive, you are not helping FINRA or yourself. You should err on the side of disclosure, explanation, and mitigation. FINRA has the power, through the SEC, to take you out of the mainstream securities industry forever, if you let it. You need FINRA lawyer in New York, like the lawyers at Malecki Law, to assist in responding to FINRA’s requests and preparing the related documents accordingly.

If you do not comply with the requests, or ignore them altogether, there is a possibility that you will be permanently barred from the securities industry. One important item to keep in mind is FINRA’s decision to bar you will be made public, and your prospective future employers will come across it with one quick Google search. It is important to take 8210 Requests seriously.

If the investigation does not conclude with your responses to FINRA’s 8210 Request, they may move forward with disciplinary action. At that time, they may bring up the opportunity of settlement. It is smart to have a lawyer present during these conversations so the lawyer can argue for lesser charges (for example, a suspension versus a full bar from the industry). You also have the right to defend yourself at a hearing .FINRA law firms, like Malecki Law in New York, have a wealth of experience in this area. You can set up a free consultation with Malecki Law to explore your options.