The Commission failed to prove its insider trading claims to the satisfaction of a jury for the second week in a row. This time a Los Angeles jury rejected claims of the agency against a corporate executive that were tied to...more
6/13/2014
/ Broker-Dealer ,
Chief Compliance Officers ,
Enforcement ,
Enforcement Actions ,
Fraud ,
Hong Kong ,
Insider Trading ,
Investment Adviser ,
Liquidnet ,
Market Manipulation ,
Misrepresentation ,
Offerings ,
Pay or Play ,
PCAOB ,
Securities and Exchange Commission (SEC) ,
Securities Fraud
The Commission’s inspection program continues to be a source of new cases for the Enforcement Division. The Office of Compliance, Inspections and Examinations, OCIE, developed the recent action against Liquidnet regarding...more
The Commission’s inspection program, conducted by the Office of Compliance Inspections and Examinations or OCIE, has been the source of a number of enforcement actions. One example is the recently filed case against dark pool...more
6/11/2014
/ Anti-Money Laundering ,
Bank Secrecy Act ,
Banks ,
Broker-Dealer ,
Brokers ,
Commodity Pool ,
CPO ,
Dark Pool ,
Enforcement ,
Enforcement Actions ,
OCIE ,
Securities and Exchange Commission (SEC)
The SEC had mixed results in court this week. A Manhattan jury returned a verdict against the agency in a high profile and long-running insider trading case where the agency had previously obtained favorable rulings from the...more
6/6/2014
/ Bitcoin ,
Chevron Deference ,
Citigroup ,
Collateralized Debt Obligations ,
Consent Decrees ,
Electronic Blue Sheets ,
Enforcement ,
Enforcement Actions ,
Financial Industry Regulatory Authority (FINRA) ,
Fraud ,
GE Capital Retail Bank ,
Hong Kong ,
Insider Trading ,
Interlocutory Appeals ,
Judge Rakoff ,
Municipal Bonds ,
Popular ,
Risk Management ,
Securities and Exchange Commission (SEC) ,
UK ,
Whistleblower Awards ,
Whistleblowers
The Second Circuit handed down its long awaited opinion in SEC v. Citigroup Global Markets, Inc., Nos. 11-5227-cv, 11-5375-cv and 11-5242-cv (2nd Cir. June 4, 2014). The decision arises out of the refusal of the District...more
6/5/2014
/ Chevron Deference ,
Citigroup ,
Collateralized Debt Obligations ,
Consent Decrees ,
Credit Suisse ,
Enforcement ,
Enforcement Actions ,
Interlocutory Appeals ,
Judge Rakoff ,
Risk Management ,
SEC v Citigroup ,
Securities Act of 1933 ,
Securities and Exchange Commission (SEC) ,
Settlement ,
Tranche
In a holiday shortened week, the SEC filed actions based on the malfeasance at a transfer agent, financial fraud, insider trading and investment fund fraud. The action involving the transfer agent stems from an inspection and...more
Since the announcement of the Financial Fraud Task Force and the Center for Risk and Quantitative Analytics last year many have expected an uptick in the number of financial fraud actions. While those actions were once a key...more
Chair Mary Jo White testified before Congress this week. Her testimony focused on the budget, reviewing the recent work of the agency. The Commission brought a series of civil injunctive and administrative proceedings this...more
5/2/2014
/ Anti-Money Laundering ,
Broker-Dealer ,
Deferred Prosecution Agreements ,
eBay ,
Enforcement ,
Enforcement Actions ,
Financial Industry Regulatory Authority (FINRA) ,
Fraud ,
Mary Jo White ,
Securities and Exchange Commission (SEC) ,
Securities Fraud ,
Securities Litigation ,
White Collar Crimes
Welcome to Dorsey & Whitney’s monthly Anti-Corruption Digest. Anti-corruption enforcement crosses boundaries like no other, so keeping up to date is more important than ever. In this digest, we draw together news of...more
Carter’s Inc. is the SEC investigation that just keeps on producing cases. Recently former firm vice president Richard Posey settled insider trading charges with the Commission after pleading guilty to one count of conspiracy...more
High speed trading and insider trading were key topics this week. Author Michael Lewis released a new book on high speed trading and, in an interview claimed the markets are “rigged.” The Commission focused on insider...more
FCPA enforcement officials have repeatedly emphasized that they intend to focus on individuals as an effective means of halting possible violations. A case unsealed yesterday underscores this point.
The action, based...more
The Commission’s current enforcement approach was detailed by Chair Mary Jo White in a speech delivered to the Australian Securities Investment Commission. In remarks titled “Perspectives on Strengthening Enforcement,”...more
Aggressive FCPA enforcement in recent years has presented corporate officials with difficult choices regarding compliance and cooperation. Crafting, implementing and maintaining an effective FCPA compliance system can be time...more
Welcome to Dorsey & Whitney’s monthly Anti-Corruption Digest. Anti-corruption enforcement crosses boundaries like no other, so keeping up to date is more important than ever. In this digest, we draw together news of...more
The number of FCPA enforcement actions brought in recent years has declined. The SEC, for example, reports that in fiscal 2013 it brought 8 cases, compared to 10 in 2012 and 15 in 2011. Nevertheless, those who might be...more
2/11/2014
/ Anti-Corruption ,
Chief Compliance Officers ,
Compliance ,
Corporate Counsel ,
Corporate Culture ,
Corruption Perceptions Index ,
Department of Justice (DOJ) ,
Enforcement ,
Foreign Corrupt Practices Act (FCPA) ,
Fraud ,
Risk Assessment ,
Risk Mitigation ,
Securities and Exchange Commission (SEC) ,
UK Bribery Act
Matthew Martoma was convicted of insider trading by a Manhattan jury. That jury found him guilty of one count of conspiracy and two counts of securities fraud. The convictions continues the unbroken string of victories in...more
2/10/2014
/ CFTC ,
Enforcement ,
Financial Industry Regulatory Authority (FINRA) ,
Hedge Funds ,
Insider Trading ,
Martoma ,
Misappropriation ,
Securities and Exchange Commission (SEC) ,
Securities Fraud ,
Securities Litigation ,
Short Sales ,
Stop Order
SEC Chair Mary Jo White outlined the 2014 agenda for the SEC in recent remarks. SEC Chair Mary Jo White, 41st Annual Securities Regulation Institute, Coronado, California (Jan. 27, 2014)(here). Portions of the agenda focused...more
The Commission, as part of its retooled enforcement program, is, in part, focusing on gatekeepers such as attorneys and accounts in an effort to achieve omnipresence. This has resulted in a number of proceedings against...more
The SEC National Examination Program announced its 2012 examination priorities. Those priorities are selected by senior staff from the National Exam Program’s offices along with senior SEC staff from the various Divisions and...more
The insider trading trial of former SAC Capital official Matthew Martoma opened this week in Manhattan with jury selection. The SEC announced the resignation of George Canellos, Co-director of the Division of Enforcement....more
1/10/2014
/ Anti-Money Laundering ,
Australia ,
Banking Sector ,
Bernie Madoff ,
CFTC ,
Compliance ,
Deferred Prosecution Agreements ,
Department of Justice (DOJ) ,
Enforcement ,
FERC ,
Financial Industry Regulatory Authority (FINRA) ,
Financial Statements ,
Foreign Corrupt Practices Act (FCPA) ,
Fraud ,
George Canellos ,
Hong Kong ,
Insider Trading ,
Investment Funds ,
JPMorgan Chase ,
Libor ,
Martoma ,
Money Laundering ,
Ponzi Scheme ,
RBS ,
SAC Capital ,
Securities ,
Securities and Exchange Commission (SEC) ,
Securities Fraud ,
Securities Litigation ,
Short Sales ,
Suspicious Activity Reports (SARs) ,
UK
Parts I and II of this series looked back at select cases brought by the Commission during 2013. Part III considered the projected path of SEC Enforcement based on remarks by members of the Commission and new initiatives....more
Parts I and II of this series looked back at 2013 and examined select cases which may influence the future path of SEC enforcement. This segment focuses on the path being charted for the Enforcement Division by a new...more
PRC based issuers, and the reliability of the financial information for these companies, continued to be a key issue for the Commission as well as the PCAOB in 2013. An action brought by the Commission against Subaye, Inc....more
SEC Enforcement is in transition. The agency has a new Chair, new Commissioners and a new Director of the Division of Enforcement. Aggressive new approaches have been outlined, building on the notion that the enforcement...more