Performance Trust Capital Partners, LLC (CRD #36155, Chicago, Illinois)

March 16, 2022 – An AWC was issued in which the firm was censured and fined $115,000. Without admitting or denying the findings, the firm consented to the sanctions and to the entry of findings that it violated its Trade Reporting and Compliance Engine (TRACE) reporting obligations by failing to report TRACE-eligible security transactions to TRACE within the 15-minute timeframe required by FINRA and without any applicable exception. The findings stated that the firm failed to establish and maintain a supervisory system reasonably designed to achieve compliance regarding timely TRACE reporting. The firm tracked its late reporting to TRACE and imposed small fines and penalties on staff involved in late reporting. However, the firm did not remediate its ongoing late TRACE reporting effectively. The firm failed to reasonably train its supervisors regarding their responsibilities to conduct oversight and follow-up with staff regarding TRACE reporting and failed to reasonably train its staff regarding their obligation to timely report trades to TRACE. The firm’s system of fines and penalties for late reporting was ineffective because it did not deter non-compliance and was inconsistently applied. In addition, the firm failed to allocate sufficient compliance department and administrative staff resources needed to reasonably monitor, surveil and follow up on late reporting, given the firm’s trading volume, which contributed to the firm’s late TRACE reporting. (FINRA Case #2019063924601)