The Securities and Exchange Surveillance Commission recommended Monday that financial regulators punish the Tokyo branch of Deutsche Securities Ltd. for illegal soliciting and two other financial violations.
The SESC issued its recommendation to the Financial Supervisory Agency and the Financial Reconstruction Commission.
Government sources said the FSA is expected to punish the securities unit of the Deutsche Bank AG group later this month because the firm conducted the illicit activities as a way to help corporate clients conceal latent losses on securities holdings.