Moors & Cabot, Inc has agreed to pay a fine of $125,000 as a part of a settlement with the Financial Industry Regulatory Authority (FINRA).

From at least January 2020 to May 2024, Moors & Cabot violated FINRA Rules 3310(a), 3310(f)(ii), and 2010 by failing to develop and implement an anti-money laundering (AML) compliance program reasonably expected to detect and cause the reporting of suspicious transactions, including transactions involving money movements, and to conduct ongoing monitoring to identify and report suspicious transactions.

In addition, between June 2020 and March 2023, Moors & Cabot failed to deliver Form CRS to 3,264 retail investors and failed to have a supervisory system reasonably designed to achieve compliance with its obligation to deliver Form CRS to such customers.

As a result, Moors & Cabot willfully violated Section 17(a)(1) of the Securities Exchange Act of 1934 and Exchange Act Rule 17a-14, and violated FINRA Rules 3110 and 2010.

The firm has agreed to a censure in addition to the $125,000 fine.

Moors & Cabot, Inc has been a FINRA member since 1936. Headquartered in Boston, Massachusetts, the firm employs 125 registered representatives in its 22 branch offices. The firm offers wealth management, financial planning, and investment advisory services.