OAR 441-195-0030
Records to be Preserved by Certain Broker-Dealers
(1)
Every broker-dealer subject to OAR 441-195-0020 (Business Records by Broker-Dealers) shall preserve for a period of not less than six years all records required to be made pursuant to 441-195-0020 (Business Records by Broker-Dealers)(1)(a), (b), (c), (e), (r) (s), (t), and analogous records created pursuant to 441-195-0020 (Business Records by Broker-Dealers)(5). The records for the most recent two years shall be kept in an easily accessible place.(2)
Every such broker-dealer shall preserve for a period of not less than three years, with the most current two years being kept in an easily accessible place:(a)
All records required to be made pursuant to OAR 441-195-0020 (Business Records by Broker-Dealers)(1)(d), (f), (g), (h), (i), (j), (n), (p), (r), (u), and analogous records made pursuant to 441-195-0020 (Business Records by Broker-Dealers)(5);(b)
All checkbooks, bank statements, canceled checks, and cash reconciliations;(c)
All bills receivable or payable (or copies thereof), paid or unpaid, relating to the business of such broker-dealer, as such;(d)
Originals of all communications received and copies of all communications sent (and any approvals thereof) by such broker-dealer (including interoffice memoranda and communications) relating to its business as such, including all communications which are subject to rules of a self-regulatory organization of which the broker-dealer is a member regarding communications with the public. As used in this subsection, the term communications includes sales scripts;(e)
All trial balances, computations of aggregate indebtedness and net capital (and working papers in connection therewith), financial statements, branch office reconciliations and internal audit working papers, relating to the business of such broker-dealer, as such;(f)
All guarantees of accounts and all powers of attorney and other evidence of the granting of any discretionary authority given in respect of any account, and copies of resolutions empowering an agent to act on behalf of a corporation;(g)
All written agreements (or copies thereof) entered into by such broker-dealer relating to its business as such, including agreements with respect to any account;(h)
All notices relating to an internal broker-dealer system provided to the customers of the broker-dealer that sponsors such internal broker-dealer system. Notices, whether written or communicated through the internal broker-dealer trading system or other automated means, shall be preserved under this subsection if they are provided to all customers with access to an internal broker-dealer system, or to one or more classes of customers. Examples of notices to be preserved under this subsection include, but are not limited to, notices addressing hours of system operations, system malfunctions, changes to system procedures, maintenance of hardware and software, and instructions pertaining to access to the internal broker-dealer system.(3)
Every broker-dealer shall preserve for a period of not less than six years after the closing of any customer’s account any account cards or records which relate to the terms and conditions with respect to the opening and maintenance of such account.(4)
Every broker-dealer shall preserve during the life of the enterprise and of any successor enterprise all partnership articles or, in the case of a corporation, all Articles of Incorporation or Charter, minute books and stock certificate books (or, in the case of any other form of legal entity, all records such as articles of organization or formation, and minute books used for a purpose similar to those records required for corporations or partnerships), all Forms BD, all Forms BDW, all amendments to these forms, and all licenses or other documentation showing the registration of the broker-dealer with any securities regulatory authority.(5)
Every broker-dealer shall maintain and preserve in an easily accessible place:(a)
All records required under OAR 441-195-0020 (Business Records by Broker-Dealers)(1)(l) and (1)(o) until at least three years after the associated person has terminated the associated person’s employment and any other connection with the broker-dealer;(b)
All records required under OAR 441-195-0020 (Business Records by Broker-Dealers)(1)(m) until at least three years after the termination of employment or association of those persons required to be fingerprinted under the Securities Exchange Act of 1934;(c)
All account record information required pursuant to OAR 441-195-0010 (Customer and Account Records by Broker-Dealers)(1), (3) and (4) until at least six years after the earlier of the date the account was closed or the date on which the information was replaced or updated;(d)
Each report which a securities regulatory authority has requested or required the broker-dealer to make and furnish to it pursuant to an order or settlement, and each securities regulatory authority examination report until three years after the date of the report;(e)
Each compliance, supervisory, and procedures manual, including any updates, modifications, and revisions to the manual, describing the policies and practices of the broker-dealer with respect to compliance with applicable laws and rules, and supervision of the activities of each natural person associated with the broker-dealer until three years after the termination of the use of the manual;(f)
All reports produced to review for unusual activity in customer accounts until eighteen months after the date the report was generated. In lieu of maintaining the reports, a broker-dealer may produce promptly the reports upon request by the director. If a report was generated in a computer system that has been changed in the most recent eighteen month period in a manner such that the report cannot reproduced using historical data in the same format as it was originally generated, the report may be produced by using the historical data in the current system, but must be accompanied by a record explaining each system change which affected the reports.(6)
The records required to be maintained and preserved pursuant to OAR 441-195-0010 (Customer and Account Records by Broker-Dealers), 441-195-0020 (Business Records by Broker-Dealers) and this rule may be immediately produced or reproduced on microfilm, microfiche, or any similar medium, or on any digital storage medium or system, and may be maintained and preserved for the required time in that form. If such substitution for hard copy is made by a broker-dealer, it shall:(a)
At all times have available for examination of its records facilities for immediate, easily readable projection or production of the media or images and for producing easily readable images;(b)
Arrange the records and index in such a manner as to permit the immediate location of any particular record;(c)
Be ready at all times to provide, and immediately provide, any facsimile enlargement which may be requested; and(d)
Store separately from the original one other copy of the substitute storage media for the time required.(7)
If a person who has been subject to OAR 441-195-0020 (Business Records by Broker-Dealers) ceases to be licensed pursuant to ORS 59.165 (Licensing of broker-dealers, investment advisers and salespersons required) or such other statute dealing with licensing, such person shall, for the remainder of the periods of time specified in this rule, continue to preserve the records which it theretofore preserved pursuant to this rule.(8)
Every broker-dealer shall furnish promptly to the director legible, true, complete, and current copies of those records of the broker-dealer that are required to be preserved under this rule, or any other records of the broker-dealer that are requested by the director.(9)
Records for the most recent two year period required to be made pursuant to OAR 441-195-0010 (Customer and Account Records by Broker-Dealers)(6) and subsections (2)(d) and (5)(d) of this rule which relate to an office shall be maintained at the office to which they relate. If an office is a private residence where only one associated person (or multiple associated persons who reside at that location and are members of the same immediate family) regularly conducts business, and it is not held out to the public as an office nor are funds or securities of any customer of the broker-dealer handled there, the broker-dealer need not maintain records at that office, but the records must be maintained at another location within the same state as the broker-dealer may select. Rather than maintain the records at each office, the broker-dealer may choose to produce the records promptly at the request of the director at the office to which they relate or at another location agreed to by the director.
Source:
Rule 441-195-0030 — Records to be Preserved by Certain Broker-Dealers, https://secure.sos.state.or.us/oard/view.action?ruleNumber=441-195-0030.