Centennial Securities Company Inc

Allegations: CENTENNIAL SECURITIES CONSENTED TO THE SANCTIONS AND TO THE ENTRY OF FINDINGS THAT IT EFFECTED CUSTOMER TRANSACTIONS IN A MUNICIPAL SECURITY IN AN AMOUNT LOWER THEN THE MINIMUM DENOMINATION OF THE ISSUE THAT WAS NOT SUBJECT TO AN EXCEPTION UNDER MSRB RULES. THE FINDINGS STATED THAT THE FIRM FAILED TO DISCLOSE ALL MATERIAL FACTS CONCERNING THE TRANSACTION AT OR PRIOR TO THE TIME OF THE TRADE, SPECIFICALLY THAT THE MUNICIPAL SECURITIES TRANSACTION WAS IN AN AMOUNT BELOW THE MINIMUM DENOMINATION OF THE ISSUE. THE FINDINGS ALSO STATED THAT THE FIRM'S SUPERVISORY SYSTEM WAS NOT DESIGNED TO ACHIEVE COMPLIANCE WITH MSRB RULES CONCERNING MUNICIPAL TRANSACTIONS EFFECTED FOR CUSTOMERS BELOW AN ISSUE'S MINIMUM DENOMINATION. Status: Final Sanction Detail: CENTENNIAL AGREED TO THE AWC ON JUNE 19, 2017. THE AWC WAS ACCEPTED BY FINRA ON JULY 17, 2017. CENTENNIAL PAID THE $45,000 FINE ON JULY 25, 2017. Summary: WHILE THE FIRM ACKNOWLEDGES RESPONSIBILITY FOR THIS UNINTENTIONAL AND ISOLATED INCIDENT, IT SHOULD BE NOTED THAT THE BONDS WERE SOLD IN DENOMINATIONS THOUGHT TO BE MOST BENEFICIAL TO THE FIRM'S INDIVIDUAL CUSTOMERS, NEITHER THE FIRM'S REGISTERED REPRESENTATIVES NOR SENIOR MANAGEMENT HAD ANY INTENTION OF CIRCUMVENTING THE REQUIRED MINIMUM DENOMINATION RULE, AND NONE OF THE FIRM'S CUSTOMERS WERE HARMED BY THE IDENTIFIED TECHNICAL VIOLATION.

Allegations: VIOLATIONS OF MSRB RULES 6-17 AND 6-30, UNFAIR AND UNREASONABLE MARKUPS IN JULY 1989. Status: Final Sanction Detail: WITHOUT ADMITTING OR DENYING THE DESCRIBED EVENTS OR ANY VIOLATIVE ACTIVITY, A $3,000 FINE WAS IMPOSED AND PAID. Summary: MR. JAMES BYLENGA, THE PRINCIPAL IN CHARGE AT THE TIME OF THE ALLEGED VIOLATIONS, IS NO LONGER ASSOCIATED WITH THE FIRM.