rdc DB12000P - Deutsche Bank Private Bank Batch Date: 8/17/2018 Added to Monitoring: 08/1712018 Alert Alert Date: 8/17/2018 Organization: NES. LLC Address: Ciiurt Ey UNITED STATES Tracking ID: KYC Reporting ID: Alerted Entity rt 1 of 2 Risk Priority: Critical Alert ID: Entity Information Entity ID: Riskid: Entity Name: Alias: Address: Recent Event(s): Event: R2451848 Nasdaq Execution Services, LLC • NES • BRUT. LLC New York, New York, UNITED STATES • REG - Regulatory Action / ACT - Disciplinary. Regulatory Action. 04/01/2014 Nasdaq Execution Services, LLC submitted a Letter of Acceptance, Waiver and Consent in which the firm was fined 55.000. Without admitting or denying the findings, the firm consented to the described sanction and to the entry of findings that it entered orders in the NASDAQ Market Center that failed to indicate correct capacity in contravention of NASDAQ Rule 4611(aX6)., 04/01/2014, Financial Industry Reg. Auth. (FINRA) Disciplinary Actions 2014 • SEC - SEC Violations (Insider Trading, Securities Fraud) / ACT - Disciplinary, Regulatory Action, 05/29/2013 The SEC issued an order instituting administrative and cease-and desist proceedings, making findings and imposing sanctions and a cease-and desist order against NASDAQ Execution Services, LLC, alleging that as of May 18. 2012, NASDAQ's rules did not permit it or its affiliated brokerdealer, NES. to assume an error position in a listed security for any reason, and it therefore was also not permitted to engage in trading to cover any position it did assume; and as result of NES's error account activity on May 18. 2012. NES experienced a net capital deficiency of approximately $26.5 million in violation of Exchange Act Section 15(c)(3) and Rule 15c3-1 thereunder, and this deficiency resulted from the requirement that NES take a haircut of $35.3 million due to its error account activity related to the Facebook IPO; and prior to the haircut. NES1s exces