Rule Violation | Whether composition may be offered | Composition Amount which may be Offered by the Clearing House, where the Clearing House has Determined the Clearing Member to be Liable | Mandatory minimum penalty imposable by the DC | |||
Rule Chapter/Number | Brief Description of Rule | 1st Violation | 2nd Violation | 3rd Violation | ||
Chapter 1 — Application of Rules | ||||||
1.01.5 | Clearing Member not to operate an account for a person unless such person has been notified of the provisions under this Rules | Compoundable | $2,000 – $4,000 | $4,000 – $7,000 | $7,000 – $10,000 | N.A. |
Added on 16 May 201116 May 2011.