The Securities and Exchange Commission today adopted new Regulation SE under the Securities Exchange Act of 1934 to create a regime for the registration and regulation of security-based swap execution facilities (SBSEFs). The new regulatory…
Enforcement
SEC Charges President/CCO of Prophecy Asset Management Advisory Firm with Multi-Year Fraud
The Securities and Exchange Commission today charged John Hughes, president and chief compliance officer of registered investment adviser Prophecy Asset Management LP, for his involvement in a multi-year fraud that concealed losses of hundreds of…
SEC Charges Royal Bank of Canada with Internal Accounting Controls Violations
The Securities and Exchange Commission today announced that Canada’s largest bank, Royal Bank of Canada, will pay a $6 million penalty to settle charges that it violated the books and records and internal accounting controls provisions of the securities…
SEC Charges Former Co-CEOs of Tech Start-Up Bitwise Industries for Falsifying Documents While Raising $70 Million From Investors
The Securities and Exchange Commission today announced charges against Jake Soberal and Irma Olguin, Jr., the former co-CEOs of Fresno, California-based private technology services startup Bitwise Industries Inc., for misleading investors about the…
SEC 2024 Examination Priorities for Broker-Dealers
The SEC‘s Division of Examinations prioritizes examinations of certain practices, products, and services that it believes present potentially heightened risks to investors or the integrity of the U.S. capital markets. They have announced the 2024 examination priorities. Here is a summary of the Broker-Dealer priorities for 2024. We summarized the […]
Albemarle Corp. to Pay SEC More Than $103 Million to Settle FCPA Violations
The SEC has recently disclosed that Albemarle Corporation, a prominent global specialty chemicals company headquartered in Charlotte, has agreed to a substantial settlement of over $103.6 million. This settlement is in response to the SEC’s charges that Albemarle violated several key provisions of the Foreign Corrupt Practices Act (FCPA), specifically […]
American Infrastructure Funds Settles SEC Charges
American Infrastructure Funds LLC (AIM), a registered investment adviser based in Foster City, California, has agreed to a settlement with the SEC, in which AIM will pay over $1.6 million to resolve charges brought against the firm. These charges stem from several alleged breaches of its duties as an investment […]
Hire a Securities Defense Attorney to Respond to an SEC Subpoena
Facing a subpoena can be a daunting experience for individuals and businesses involved in securities-related matters. The SEC wields substantial authority to investigate potential violations of securities laws, and responding to a subpoena demands a keen understanding of the legal process and regulations. However, I often see individuals who decide […]
Linus Financial Agrees to Settle SEC Charges of Unregistered Offer and Sale of Securities
In the appropriate case in our securities defense practice, we sometimes advise clients to self-report a violation and the client’s efforts to correct the violation. The rationale is that the SEC views self-reporting in a positive light when determining sanctions, and the reporting can avoid lengthy and costly investigations and […]
SEC Charges Five Advisory Firms for Custody Rule Violations
We continue to see investigations of advisory firms for violations of the Custody Rule, which has specific requirements for the handling and reporting for firms that hold customer funds. The SEC has an extensive FAQ regarding the rule and the requirements for compliance. As always we are available to assist […]