Salomon Grey Financial, a Dallas, Texas-based brokerage that was first registered in 1998 has been dealt a severe penalty by the National Association of Securities Dealers. Salomon Grey went out of business since Febuary but has been in regulators sites for the past several years. In August 2004 Salomon Grey and owner Kyle Browning Rowe agreed to a $100,000 fine on charges relating to money laundering, poor supervision, employing brokers with past disciplinary problems and conducting unauthorized searches of an NASD database. Rowe was also suspended for two weeks by the NASD (Sept. 7 - Sept. 20, 2004) in relation to the same charges. In paying the $100,000 fine, neither Rowe nor his firm were required to admit any wrongdoing. However, as of late last month the NASD made their assessment of the situation very clear, with the decision to expel Salomon Grey and to ban Kyle Rowe for life. Time to keep the eagle-eyes out for where Mr. Rowe and the rest of the crew from Solomon Grey's 14 offices land next.

More on the story can be found here. And for the the NASD's press release on Rowe's lifetime ban and Solomon Grey's shady activities, click here.

--MDT

Labels: database, money laundering