NASD Restores Purged Data on Brokers
Times Staff and Wire Reports
The National Assn. of Securities Dealers said it has restored all 596 items of adverse broker data mistakenly purged from a databank of brokers’ disciplinary histories. The industry association, which polices all U.S. brokers and runs the Nasdaq Stock Market, said last week that it was starting to review as many as 3,000 items that might have been deleted. The review found that nearly three-fourths of those items either had not been expunged or were correctly deleted. The deletions, made between January 1995 and April 1996, were prompted by incorrect guidelines issued by NASD executives. State regulators detected the faulty guidelines while working with the association to modernize its central registration depository system.
