As required under the Terms and Conditions of Recognition of the MFDA as a Self-Regulatory Organization, MFDA staff has developed Penalty Guidelines. The Penalty Guidelines have been prepared for use in disciplinary proceedings for the benefit of Respondents, Staff, Hearing Panels and the public.
The Penalty Guidelines are not binding on a Hearing Panel and are intended only to provide a basis upon which discretion can be exercised consistently and fairly in like circumstances. The facts of a particular case may warrant that a Hearing Panel impose penalties of a different type and range than those stated in the Penalty Guidelines, including no penalty at all.
The Penalty Guidelines will assist Respondents, Staff and Hearing Panels in the fair and consistent settlement and litigation of disciplinary proceedings. The Penalty Guidelines will also benefit the public and media in understanding how penalties are determined in disciplinary cases and in increasing the transparency of the disciplinary process generally.
A copy of the Penalty Guidelines are attached.