An agent registered in States X and Y is found to have excessively traded client accounts in both states, but claims lack of clear guidelines on trading frequency. What is the Administrator’s MOST LIKELY action?

1. AInitiate enforcement actions in both states, as churning is prohibited regardless of guidelines✓ Correct answer
2. BTake no action since the agent claims ambiguity
3. CRequire only the broker-dealer to pay restitution
4. DRefer the matter solely to FINRA

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