having your account and disclosure to employer

I have a complex question...if anyone know anything about it. I currently work for a brokerage firm who needs employees to disclose their own accounts with other brokerage firms. However, this collegue of mine claims he has kept a account in secret under his name for several years without disclosure.

I was curious how the Compliance department find out about accounts that are not disclosed? thanks

Maybe they will or maybe they won't, but why risk it if you value your job? However, if you decide to do so, one way they could find out is if you tell someone about it and you get reported.

Why not just disclose it?

it is always good to work with transparency with employer if you want long term relationhip with them

Its easy enough for your employer (through their regulators) to determine if you have a hidden brokerage account or not. More likely then not they need to know for compliance reasons (WITH their regulators) and your failure to disclose the account could land you in some legal trouble.

If I were you I'd either disclose it, or close it and open one in another persons name. Otherwise your playing with fire...

why wouldn't he disclose his "secret account"? hmmm some frontrunning?.........doubt his employer would take too kindly to this. I would have to think if he signed a contract and it said in the contract he had to disclose accts with other firms and he didn't they could fire him if they found out.