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Certain Small Broker-Dealers Have an Additional 30 Days to File their Audited Financials

On February 12th, the SEC issued Release No. 34-91128 (“the Order”), which extends the annual audit filing deadline for certain small broker-dealers.  In order to take advantage of the 30 calendar-day filing extension, a broker-dealer must satisfy the following conditions:

  1. As of its most recent fiscal year end:
    1. Was in compliance with Rule 15c3-1; and
    2. Had total capital and allowable subordinated liabilities of less than $50 million, as
      reported in box 3530 of Part II or Part IIA of its FOCUS Report;
  2. Is permitted to file an exemption report as part of its most recent fiscal year end annual
  3. Submits written notification to its designated examining authority of its intent to rely on
    this order on an ongoing basis for as long as it meets the conditions of the order; and
  4. Files the annual report electronically with the Commission using an appropriate process.

At a minimum, firms will need to deliver an electronic notification to their Risk Monitoring Analyst.  Firms should deliver the notice as soon as possible, as March 1st is less than two weeks away!  Be sure to maintain documentation that evidences the firm’s satisfaction of all qualifying conditions.

As always, Hardin is standing by to assist you with your compliance program.


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