The U.S. Supreme Court on March 14 denied Alpine Securities Corporation’s emergency request to stop a Financial Industry Regulatory Authority (FINRA) enforcement action aiming to bar it from the securities business.
The company is arguing that FINRA, a self-regulating organization that is charged with supervising member firms under U.S. Securities and Exchange Commission (SEC) oversight, lacks authority under the U.S. Constitution to enforce its regulations because it is a private organization that is not formally part of the federal government.
The authority drafts and enforces rules regulating member firms and monitors their activities to assure compliance with its rules and federal securities laws….