Moody Capital Solutions, Inc has agreed to pay a fine of $50,000 as a part of a settlement with the Financial Industry Regulatory Authority (FINRA).

From January 2020 to May 2023, Moody Capital failed to establish, maintain, and enforce a supervisory system, including written supervisory procedures (WSPs), reasonably designed to achieve compliance with FINRA rules governing outside business activities (OBAs) and outside securities accounts, in violation of FINRA Rules 3110 and 2010.

Additionally, from January 2020 to December 2022, the firm did not evaluate 23 OBAs disclosed by registered representatives, in violation of FINRA Rules 3270.01 and 2010.

Further, from January 2020 to June 2023, the firm’s anti-money laundering (AML) program was not reasonably designed to achieve compliance with Customer Identification Program (CIP) and Customer Due Diligence (CDD) requirements.

Finally, the firm did not conduct independent tests of its AML program from 2020 to the present.

Therefore, the firm violated FINRA Rules 3310 and 2010.

The firm has agreed to a censure and an undertaking in addition to the $50,000 fine.

Moody Capital has been a FINRA member since February 1985. The firm, whose sole office is located in Atlanta, Georgia, currently has six registered representatives. The firm engages in an investment banking business, including acting as a placement agent for private placements of securities to investment funds and accredited investors.