Wall Street brokers were recently surprised to learn that regulators at the Financial Industry Regulatory Authority (FINRA) and the Securities and Exchange Commission (SEC) are vying to gain access to their personal and private posts on Facebook, Twitter, Google Plus and other social media accounts.
CNN Money reports that regulators are seeking to monitor broker-dealer communications on social networks to prevent the posting of stock tips and business information that could give credence to allegations of insider trading, securities fraud, market manipulation or breach of confidentiality agreements. (“Wall Street wants Brokers’ Private Facebook posts on Stock Trades,” CNN Money, April 22, 2013.)
If states permit an exemption for broker-dealer communications, what’s next? Will FINRA attempt to monitor cellphone, home phone and personal email communications? Tacopina & Seigel provides comprehensive representation to investors, investment firms, brokers, dealers, traders, planners and fund managers facing invasions of privacy, and potential legal challenges.