Finra accused of age bias

A former district director of Finra's New York office has filed an age discrimination suit against the regulator, Reuters reported last week
OCT 28, 2011
A former district director of Finra's New York office has filed an age discrimination suit against the regulator, Reuters reported last week. Hans Reich, 66, alleges that he was terminated from the Financial Industry Regulatory Authority Inc. at the end of March and replaced with a younger acting director, Reuters reported. Finra may be cleaning house in the wake of industry scandals, said attorney Bill Singer, a partner at Gusrae Kaplan Bruno & Nusbaum PLLC, who worked for Mr. Reich in the 1980s at Smith Barney Harris Upham, where Mr. Reich was director of compliance. “They're getting tremendous heat after the failures with [Bernard] Madoff” and others, said Mr. Singer, who said that he hasn't spoken to Mr. Reich about the suit. Mr. Reich's departure is a “horrible thing,” said Alan Davidson, founder of Zeus Securities Inc., who served with Mr. Reich on Finra's New York district committee from 1989 to 1992. “He was a top talent [and] a voice of reason.” Finra “obviously prefers these younger guys ... who are not as sensitive or responsive” to member firms, Mr. Davidson said. The claim was filed in the U.S. District Court for the Eastern District of New York, according to Reuters. A copy of the lawsuit wasn't available. Finra spokeswoman Michelle Ong declined to comment. Email Dan Jamieson at [email protected]

Latest News

Integrated Partners, Kestra welcome multigenerational advisor teams
Integrated Partners, Kestra welcome multigenerational advisor teams

Integrated Partners is adding a mother-son tandem to its network in Missouri as Kestra onboards a father-son advisor duo from UBS.

Trump not planning to fire Powell, market tension eases
Trump not planning to fire Powell, market tension eases

Futures indicate stocks will build on Tuesday's rally.

From stocks and economy to their own finances, consumers are getting gloomier
From stocks and economy to their own finances, consumers are getting gloomier

Cost of living still tops concerns about negative impacts on personal finances

Women share investing strengths, asset preferences in new study
Women share investing strengths, asset preferences in new study

Financial advisors remain vital allies even as DIY investing grows

Trump vows to 'be nice' to China, slash tariffs
Trump vows to 'be nice' to China, slash tariffs

A trade deal would mean significant cut in tariffs but 'it wont be zero'.

SPONSORED Compliance in real time: Technology's expanding role in RIA oversight

RIAs face rising regulatory pressure in 2025. Forward-looking firms are responding with embedded technology, not more paperwork.

SPONSORED Advisory firms confront crossroads amid historic wealth transfer

As inheritances are set to reshape client portfolios and next-gen heirs demand digital-first experiences, firms are retooling their wealth tech stacks and succession models in real time.