Compliance Rules

Part 3 - Compliance Procedures

RULE 3-4. NOTICE OF CHARGES.

[Adopted effective March 15, 1994, amendments effective September 17, 1999.]

(a) A Complaint issued by the Business Conduct Committee under these Rules must:

(i) state each NFA requirement alleged to be, to have been or about to be violated; and

(ii) state each act or omission that constitutes, constituted or will constitute the alleged violation.

(b) NFA shall advise the Respondent in writing:

(i) that the Respondent must file a written Answer to the Complaint with NFA, within 30 calendar days of the date of the Complaint;

(ii) that failure to file an Answer as provided in Part (i) above shall be deemed an admission of the facts and legal conclusions contained in the Complaint;

(iii) that failure to respond to any allegation shall be deemed an admission of that allegation; and

(iv) that failure to file an Answer as provided in Part (i) above shall be deemed a waiver of hearing.