OUR SERVICES
Lorraine Lee Consulting, LLC provides interpretive guidance and services from a former securities regulator and subject matter expert, in the nuanced area of statutory disqualification.
Lorraine Lee Consulting, LLC is flexible and expeditious in providing expert advice. Additionally, we provide support to our clients in offering the following services, which could include, but not necessarily be limited to the following:
WHAT DOES IT MEAN TO BE STATUTORILY DISQUALIFIED?
The term “statutory disqualification” is defined in Section 3(a)(39) of the Exchange Act of 1934 (“Exchange Act”), which incorporates by reference, Section 15(b)(4). The Exchange Act sets forth the events or conduct that cause an individual or broker-dealer to be disqualified, and those events are as follows:
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certain misdemeanor and all felony criminal convictions for a period of ten years from the date of conviction;
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temporary and permanent injunctions (regardless of their age) issued by a court of competent jurisdiction;
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expulsions (and current suspensions) from membership or participation in any self-regulatory organization (“SRO”), foreign or international securities exchange, contract market designated pursuant to section 5 of the Commodity Exchange Act (7 U.S.C. 7), or any substantially foreign statute or regulation, or futures association registered under section 17 of such Act (7 U.S.C. 21), or any substantially equivalent foreign statute or regulation, or has been and is denied trading privileges on any such contract market or foreign equivalent.;
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bars (and current suspensions) ordered by the Securities and Exchange Commission (“SEC”) or SRO;
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denials or revocations of registration by the SEC or Commodity Futures Trading Commission (CFTC);
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findings that a member or person has made certain false statements in applications or reports made to, or in proceedings before an SRO;
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any final order of a State securities commission (or any agency or officer performing like functions), State authority that supervises or examines banks, savings associations, or credit unions, State insurance commission (or any agency or office performing like functions), an appropriate Federal banking agency (as defined in Section 3 of the Federal Deposit Insurance Act (12 U.S.C. 1813(q)), or the National Credit Union Administration, that
(i) bars such person from association with an entity regulated by such commission, authority, agency, or officer, or from engaging in the business of securities, insurance, banking, savings association activities, or credit union activities; or
(ii) constitutes a final order based on violations of any laws or regulations that prohibit fraudulent, manipulative, or deceptive conduct.
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Findings by the SEC, CFTC or an SRO that a person: 1) "willfully" violated the federal securities or commodities laws, or the Municipal Securities Rulemaking Board (“MSRB”) rules; 2) "willfully" aided, abetted, counseled, commanded, induced or procured such violations; or 3) failed to supervise another who commits violations of such laws or rules; and
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Certain Associations: In the case of affiliated relationships, “associated persons” includes non-natural persons (i.e., entities).