A BD application is received by the State Administrator for a new broker-dealer subsidiary of a British securities firm. The application includes the disclosure that the parent firm was suspended from membership on the London Stock Exchange 4 years ago because of unauthorized trading by its Singapore branch. The State Administrator:.

B. Can deny registration based on the suspension by the foreign regulator.

Explanation:

Section 204 of the  Uniform Securities Act part H1 states that if an applicant has been convicted of the violation of the laws of a foreign jurisdiction governing or regulating any aspect of the securities and banking business within the past five years or has been the subject of an action meted by any of these bodies such as being denied, suspended, or revoked the right to do business as a broker-dealer, agent or investment banker by a self-regulatory organization or any organization acting under the securities act, the State Administrator reserves the right to by order, deny, suspend or revoke his application.

The Uniform Securities Act was formed to regulate and receive applications from interested applicants on securities on the state level. In the question above, since the applicant was suspended from membership on the London Stock Exchange 4 years ago because of unauthorized trading by its Singapore branch, the Administrator would be acting within his rights if he denied the registration.    

i think the answer to your question is b. directive