Deutsche Bank Securities Inc. (DBSI) has been sanctioned by the Montreal Exchange (MX) for supervisory failures.
The MX’s disciplinary committee approved a settlement with DBSI, which includes $85,000 in fines and requires the firm to pay $7,700 in costs, after the firm admitted to violating the exchange’s rule by allowing electronic trading access to 15 employees without prior approval.
An internal review found that those unapproved employees collectively placed 1,337 orders and executed 87,335 contracts on the exchange.
The settlement found that the firm violated the MX’s rules on market access and requirements on developing supervisory systems.
It also noted that the firm has since corrected the registration issues and beefed up its supervisory controls. It also cooperated with the MX’s investigation.