FINRA fines American Veterans Group for alleged rule violations
American Veterans Group, PBC (AVG) has agreed to pay a fine of $70,000 as a part of a settlement with the Financial Industry Regulatory Authority (FINRA).
From March 2019 through August 2023, AVG failed to correctly report over 4,400 municipal securities step-out transactions to the MSRBs Real-time Transaction Reporting System (RTRS), violating MSRB Rule G-14.
During that same period, AVG failed to correctly report over 850 corporate bond step-out transactions to the Trade Reporting and Compliance Engine (TRACE), violating FINRA Rules 6730 and 2010.
From January 2022 to August 2023, the firm failed to apply the required special condition indicator for at least 61 transactions in new issue municipal securities reported to the RTRS, violating MSRB Rule G-14.
From December 2023 to December 2025, AVG erroneously applied the non-transaction-based compensation arrangement (NTBC) indicator to over 1,440 transactions, violating MSRB Rule G-14.
From at least March 2019 to April 2026, AVG failed to establish, maintain, and enforce a supervisory system, including written supervisory procedures (WSPs), reasonably designed to achieve compliance with MSRB Rule G-14 and FINRA Rule 6730, violating MSRB Rule G-27 and FINRA Rules 3110 and 2010.
AVG has agreed to a censure in addition to the fine of $70,000.
AVG has been a FINRA member and Municipal Securities Rulemaking Board (MSRB) registrant since August 2018. It is headquartered in Melville, New York, maintains two active branches, and has 26 registered representatives. The firm primarily engages in trading exchange-listed equities, U.S. government securities, corporate bonds, and municipal bonds for institutional customers.
From March 2019 through August 2023, AVG failed to correctly report over 4,400 municipal securities step-out transactions to the MSRBs Real-time Transaction Reporting System (RTRS), violating MSRB Rule G-14.
During that same period, AVG failed to correctly report over 850 corporate bond step-out transactions to the Trade Reporting and Compliance Engine (TRACE), violating FINRA Rules 6730 and 2010.
From January 2022 to August 2023, the firm failed to apply the required special condition indicator for at least 61 transactions in new issue municipal securities reported to the RTRS, violating MSRB Rule G-14.
From December 2023 to December 2025, AVG erroneously applied the non-transaction-based compensation arrangement (NTBC) indicator to over 1,440 transactions, violating MSRB Rule G-14.
From at least March 2019 to April 2026, AVG failed to establish, maintain, and enforce a supervisory system, including written supervisory procedures (WSPs), reasonably designed to achieve compliance with MSRB Rule G-14 and FINRA Rule 6730, violating MSRB Rule G-27 and FINRA Rules 3110 and 2010.
AVG has agreed to a censure in addition to the fine of $70,000.
AVG has been a FINRA member and Municipal Securities Rulemaking Board (MSRB) registrant since August 2018. It is headquartered in Melville, New York, maintains two active branches, and has 26 registered representatives. The firm primarily engages in trading exchange-listed equities, U.S. government securities, corporate bonds, and municipal bonds for institutional customers.