FINRA uses SONAR to “ping” financial crime

Submarines aren’t the only ones using SONAR to lock in on potential targets. FINRA has an electronic surveillance system called SONAR which they use to analyze financial transactions and unusual patterns of behavior to ferret out illegal trading based on material insider information otherwise unavailable to the general investing public.  The system is not only an effective detection tool but gathers the type of electronic evidence necessary for prosecutors to secure convictions for securities violations.