Dodd-Frank.com

SEC Says there are (Almost) No Excuses for Late Whistleblowers

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The SEC announced a whistleblower award totaling more than $325,000 for a former investment firm employee who tipped the agency with specific information that enabled enforcement staff to open an investigation and uncover the extent of the fraudulent activity. In making the award the SEC considered the whistleblower’s delay in... Read More

Topics: Broker-Dealer, Employment, Investment Advisers, Litigation, Public Companies and Securities

SEC Discusses Criteria for Charging Chief Compliance Officers

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In remarks before the 2015 National Society of Compliance Professionals, National Conference, Andrew Ceresney, Director, SEC Division of Enforcement, outlined the type of criteria used to charge Chief Compliance Officers with securities law violations.  According to Mr. Ceresney, CCOs are charged in the following types of cases: cases against CCOs... Read More

Topics: Broker-Dealer, Investment Advisers

Get Ready for Crowdfunding

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The SEC is expected to vote today to approve final rules to implement Title III of the JOBS Act, which will permit so-called equity crowdfunding for the first time. It has been some three years since the SEC was tasked with issuing these rules, and back in March we wondered... Read More

Topics: Broker-Dealer, Private Equity

FinCEN Proposes Extending Anti-Money Laundering Compliance Requirements to Investment Advisers

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On Tuesday, the United States Department of Treasury’s Financial Crimes Enforcement Network (FinCEN) proposed a rule that would require SEC-registered investment advisers, including private equity and hedge funds, to comply with certain anti-money laundering (AML) rules. These rules already apply to other types of financial institutions such as banks and securities... Read More

Topics: Banking, Broker-Dealer, Investment Advisers, Private Equity

SEC Explains How to Form a Pre-Existing Relationship Using the Internet; New CDIs Issued

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The SEC granted no-action relief to Citizen VC, Inc. which appears to state, although subject to facts and circumstances, a pre-existing relation can be formed with a person that first contacts a seller of securities over the internet.  It is important because offerings can be conducted without general solicitation and... Read More

Topics: Broker-Dealer, Public Companies and Securities

SEC Exams to Focus on Sales of Retirement Products

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The SEC Office of Compliance Inspections and Examinations, or OCIE, has launched a multi-year Retirement-Targeted Industry Reviews and Examinations (ReTIRE) Initiative.  OCIE is focusing on retirement-based savings in recognition of the complex and evolving set of factors that retail investors face when making such investment decisions. OCIE, through the National... Read More

Topics: Broker-Dealer, Investment Advisers

CFTC Taking Action on Inaccurate Reporting

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The Commodity Futures Trading Commission (CFTC) is increasingly taking action on inaccurate reporting by market participants.  In the past year, the CFTC has entered into three settlements with market participants for filing inaccurate reports. Recently, the CFTC settled with ICE Futures U.S., Inc. for $3 million for inaccurately filing clearing... Read More

Topics: Broker-Dealer, Energy