On June 22, National Futures Association (NFA) issued Notice I-20-26 announcing that the recent amendments made to Part 3 of its Compliance Rules will become effective on August 31, 2020. NFA Compliance Rule 3-14 was amended to allow an NFA disciplinary panel to impose a monetary penalty of up to $500,000 per rule violation at the conclusion of an NFA disciplinary proceeding. This amendment is meant to further deter violations of NFA requirements and provide NFA’s disciplinary panels with greater flexibility in assessing penalties. In addition, NFA also made several other minor amendments to its disciplinary procedures set forth in Part 3 of its Compliance Rules.
Notice I-20-26 is available here.