Barclays Capital Inc. agreed to pay a fine of US $1.3 million to the Financial Industry Regulatory Authority to resolve charges that, from September 2008 through April 2015, the firm violated FINRA’s order audit trail system (OATS) reporting requirements on multiple occasions and did not have an adequate supervisory system reasonably designed to achieve compliance with OATS requirements. (OATS is an integrated audit trail of order, quote and trade information for all national market system stocks and over-the-counter equity securities administered by FINRA. Under OATS, FINRA member firms must electronically capture and report to OATS specific data elements relating to the handling or execution of relevant orders.) According to FINRA, for the relevant time, its staff identified 15 systems issues that caused 3.6 billion OATS reporting violations. This constituted up to 3 percent of all reportable order events by Barclays during the relevant time, said FINRA. FINRA claimed that 2.3 billion of Barclays’ OATS errors were caused by a program failure of the firm’s trading system to report the “not held” special handling code for all orders designated by the firm as “not held.” In August 2015, three broker-dealers agreed to pay fines in excess of US $2.6 million in aggregate to resolve FINRA allegations that they failed to comply with OATS reporting requirements. (Click here for details in the article, “FINRA Fines Three Broker-Dealers More Than US $2.6 Million for OATS Reporting Violations” in the August 2, 2015 edition of Bridging the Week.)