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Larry Hagman wins $11 million payout from Citi

MarketWatch

An arbitration panel has ordered Citigroup Inc. to pay out more than $11 million following allegations that it mishandled the accounts of “Dallas” actor Larry Hagman. Arbitrators told Citi to pay Hagman around $1.1 million in compensation and to hand a further $10 million to the charity of his choice. Hagman, best know for his role as J.R. Ewing in the long-running show, had made allegations including breach of fiduciary duty and fraud by misrepresentation and omission against the bank. The Financial Industry Regulatory Authority did not give specific details of the claims, but said in a decision notice that they related to unspecified securities as well as the purchase of a life insurance policy.

The Financial Industry Regulatory Authority (FINRA) is a self-regulatory organization that oversees U.S. broker-dealers to protect investors and ensure market integrity. Established in 2007, FINRA was formed by merging the National Association of Securities Dealers (NASD) and the regulation, enforcement, and arbitration functions of the New York Stock Exchange (NYSE). Its primary responsibilities include writing and enforcing rules governing the activities of its member firms, conducting regular examinations to ensure compliance, and providing a dispute resolution forum for investors and broker-dealers.

FINRA also focuses on investor education, offering resources to help individuals make informed investment decisions and recognize potential fraud. One of its key tools is BrokerCheck, a public database providing detailed information about brokers and brokerage firms, including professional backgrounds and disciplinary histories. By maintaining stringent regulatory standards and emphasizing investor protection, FINRA plays a crucial role in fostering trust and stability in the U.S. securities markets.