Alternative Trading Systems Operator Liquidnet Charged with Violations of Market Access Rule and for Failing to Protect Confidential Subscriber Trading Information
Washington, D.C.--(Newsfile Corp. - January 10, 2025) - The Securities and Exchange Commission today announced settled charges against broker-dealer Liquidnet Inc., an operator of multiple alternative trading systems (ATSs), for failing to have necessary controls and procedures regarding market access, for failing to protect confidential subscriber trading information, and for related disclosure failures. Liquidnet agreed to pay a $5 million civil penalty to resolve the SEC's charges. As an...
2025-01-10 1:22 PM EST
Vince McMahon, Former CEO of WWE, Charged for Failure to Disclose to WWE Two Settlement Agreements He Executed on Behalf of WWE
Washington, D.C.--(Newsfile Corp. - January 10, 2025) - The Securities and Exchange Commission today announced settled charges against Vince McMahon, the former Executive Chairman and CEO of World Wrestling Entertainment Inc., for signing two settlement agreements, one in 2019 and one in 2022, on behalf of himself and WWE without disclosing the agreements to WWE’s Board of Directors, legal department, accountants, financial reporting personnel, or auditor. Doing so circumvented WWE’s system...
2025-01-10 9:19 AM EST
Tai Mo Shan to Pay $123 Million for Negligently Misleading Investors About Stability of Terra USD
Washington D.C.--(Newsfile Corp. - December 20, 2024) - The Securities and Exchange Commission today charged Tai Mo Shan Limited with misleading investors about the stability of Terra USD (UST), a purported “algorithmic stablecoin” issued by Terraform Labs PTE Ltd. (Terraform), when UST dropped from its purportedly fixed exchange rate of 1 UST to $1, known as a peg. The Commission further charged Tai Mo Shan with offering and selling securities in unregistered transactions by acting as a...
2024-12-20 6:07 PM EST
SEC Adopts Rule Amendments to the Broker-Dealer Customer Protection Rule
Washington, D.C.--(Newsfile Corp. - December 20, 2024) - The Securities and Exchange Commission today adopted amendments to Rule 15c3-3 (the customer protection rule) to require certain broker-dealers to increase the frequency with which they perform computations of the net cash they owe to customers and other broker-dealers (known as PAB account holders) from weekly to daily. The Commission also adopted amendments to Rule 15c3-3 and Rule 15c3-1 (the broker-dealer net capital rule) to permit...
2024-12-20 4:23 PM EST
SEC Files Settled Charges Against Multiple Entities for Failing to Timely File Forms D in Connection With Securities Offerings
Washington, D.C.--(Newsfile Corp. - December 20, 2024) - The Securities and Exchange Commission today announced charges against two private companies and one registered investment adviser for failing to timely file Forms D for several unregistered securities offerings in violation of Rule 503 of Regulation D. The parties charged are: GRID 202 LLC, a registered investment adviser which does business as Re-Envision Wealth; Pipe Technologies Inc., a privately held financial technology company;...
2024-12-20 11:15 AM EST
SEC Charges Silver Point Capital with Policy Failures Regarding Receipt of Material Nonpublic Information About Bonds Issued by Puerto Rico
Washington, D.C.--(Newsfile Corp. - December 20, 2024) - The Securities and Exchange Commission today charged registered investment adviser Silver Point Capital L.P. with failing to establish, implement, and enforce written policies and procedures reasonably designed to prevent the misuse of material nonpublic information (MNPI) relating to its participation on creditors’ committees. According to the SEC’s complaint, one of Silver Point’s core strategies was to invest in distressed companies....
2024-12-20 10:40 AM EST
Wells Fargo and LPL Financial Charged for Submitting Deficient Trading Data to SEC
Washington, D.C.--(Newsfile Corp. - December 20, 2024) - The Securities and Exchange Commission today announced settled charges against Wells Fargo Clearing Services LLC and LPL Financial LLC for failing to provide complete and accurate securities trading information, known as blue sheet data, to the SEC. Wells Fargo and LPL each agreed to pay a $900,000 civil penalty to resolve the SEC's charges. According to the SEC’s orders, over a period of several years, Wells Fargo and LPL each made...
2024-12-20 9:23 AM EST
Deutsche Bank Subsidiary to Pay $4 Million for Untimely Filing Certain Suspicious Activity Reports
Washington, D.C.--(Newsfile Corp. - December 20, 2024) - The Securities and Exchange Commission today charged registered broker-dealer Deutsche Bank Securities Inc., a subsidiary of Deutsche Bank AG, for failing to file certain Suspicious Activity Reports (SARs) in a timely manner. Deutsche Bank Securities has agreed to pay a $4 million civil penalty to settle the SEC’s charges. Broker-dealers are required by the Bank Secrecy Act and regulations promulgated by the U.S Department of the...
2024-12-20 9:23 AM EST
SEC Charges Utility Company Entergy Corp. with Internal Accounting Controls Violations
Washington D.C.--(Newsfile Corp. - December 20, 2024) - The Securities and Exchange Commission today announced that Entergy Corporation, a Louisiana-based utility company, agreed to pay a $12 million civil penalty to settle charges that it failed to maintain internal accounting controls to ensure that its surplus materials and supplies were accurately recorded in its books and financial statements in accordance with generally accepted accounting principles (GAAP). According to the SEC’s...
2024-12-20 8:59 AM EST
Global Aerospace Company AAR and Former Executive of its Subsidiary Settle Charges for Bribing Nepalese and South African Officials
Washington D.C.--(Newsfile Corp. - December 19, 2024) - The Securities and Exchange Commission today announced that Illinois-based AAR CORP., a global provider of aviation services and products, agreed to resolve Foreign Corrupt Practices Act (FCPA) charges in connection with two bribery schemes. AAR agreed to pay approximately $30 million to settle the SEC’s charges. Deepak Sharma, a former executive of a wholly owned AAR subsidiary, also settled SEC charges related to the same bribery...
2024-12-19 5:44 PM EST
SEC Approves 2025 PCAOB Budget and Accounting Support Fee
Washington, D.C.--(Newsfile Corp. - December 18, 2024) - The Securities and Exchange Commission voted today to approve the 2025 budget of the Public Company Accounting Oversight Board (PCAOB) and the related annual accounting support fee. The 2025 PCAOB budget totals $399.7 million. The accounting support fee totals $374.9 million, of which $346.1 million will be assessed on public company issuers and $28.8 million will be assessed on registered broker-dealers. “Well-functioning financial...
2024-12-18 12:07 PM EST
SEC Charges Express, Inc. with Failing to Disclose Nearly $1 Million in Perks Provided to Former CEO
Washington, D.C.--(Newsfile Corp. - December 17, 2024) - The Securities and Exchange Commission today announced settled charges against Ohio-based Express, Inc., a multi-brand American fashion retailer, for failing to disclose executive compensation it paid to its now former CEO. According to the SEC’s order, in definitive proxy statements for fiscal years 2019, 2020, and 2021, Express failed to disclose $979,269 worth of perks and personal benefits provided to its CEO, including certain...
2024-12-17 9:19 AM EST
SEC Modernizes the Submission of Certain Forms, Filings, and Materials Under the Securities Exchange Act of 1934
Washington, D.C.--(Newsfile Corp. - December 16, 2024) - The Securities and Exchange Commission today adopted amendments to require the electronic filing, submission, or posting of certain forms, filings, and other submissions that national securities exchanges, national securities associations, clearing agencies, broker-dealers, security-based swap dealers, and major security-based swap participants make with the Commission. "Today’s amendments build on more than 20 years of Commission...
2024-12-16 6:00 PM EST
Becton Dickinson to Pay $175 Million for Misleading Investors About Alaris Infusion Pump
Washington, D.C.--(Newsfile Corp. - December 16, 2024) - The Securities and Exchange Commission today announced settled charges against Becton, Dickinson and Company, a New Jersey-based medical device manufacturer known as BD, for repeatedly misleading investors about risks associated with its continued sales of its Alaris infusion pump and for overstating its income by failing to record the costs of fixing multiple software flaws with the pump. BD agreed to pay a $175 million civil penalty....
2024-12-16 4:38 PM EST
SEC Announces Departure of Corporation Finance Division Director Erik Gerding
Washington, D.C.--(Newsfile Corp. - December 13, 2024) - The Securities and Exchange Commission today announced that Erik Gerding, Director of the Division of Corporation Finance, will depart the agency effective Dec. 31, 2024. Upon Mr. Gerding’s departure, Cicely LaMothe will serve as Acting Director. “I want to thank Erik for his leadership of the Division of Corporation Finance,” said SEC Chair Gary Gensler. “During his time of service, we’ve adopted important reforms regarding corporate...
2024-12-13 11:26 AM EST
SEC Charges Cantor Fitzgerald Over Misleading SPAC Disclosures
Washington, D.C.--(Newsfile Corp. - December 12, 2024) - The Securities and Exchange Commission today charged global financial services firm Cantor Fitzgerald, L.P. with causing two special purpose acquisition companies (SPACs) that it controlled to make misleading statements to investors ahead of their initial public offerings (IPOs). Cantor Fitzgerald has agreed to pay a $6.75 million civil penalty to settle the SEC’s charges. A SPAC is an entity with no underlying business operations that...
2024-12-12 5:45 PM EST
SEC Charges Former Representative of Advisory Firm SeaCrest with Cherry-Picking
Washington, D.C.--(Newsfile Corp. - December 12, 2024) - The Securities and Exchange Commission today charged Eric Cobb of South Carolina with engaging in a fraudulent scheme where he allocated profitable securities trades to favored accounts and unprofitable trades to disfavored clients, a practice known as cherry-picking, while he was a representative of investment adviser SeaCrest Wealth Management, Inc. The SEC also announced settled charges against SeaCrest in connection with the scheme....
2024-12-12 3:55 PM EST
SEC Office of the Investor Advocate Issues Report on Nationally Representative Survey of Investors and Continues Focus on Investment Fraud
Washington, D.C.--(Newsfile Corp. - December 12, 2024) - The Securities and Exchange Commission’s Office of the Investor Advocate today published its Report on Activities for the Fiscal Year 2024 to Congress, highlighting the work of the office during the fiscal year. The report includes: The office’s findings from a program of quarterly, longitudinal surveys of investors launched in fiscal year 2024. The Thoughtful Households Relating InVesting Experiences (THRIVE) Panel is a nationally...
2024-12-12 11:58 AM EST
SEC Charges Ken Peterman, Former Comtech CEO, with Insider Trading in Advance of Negative Earnings Announcement
Washington, D.C.--(Newsfile Corp. - December 11, 2024) - The Securities and Exchange Commission today announced insider trading charges against Ken Peterman, the former CEO, president, and Chair of the Board of Comtech Telecommunications Corp., in connection with his sale of Comtech shares on the basis of material non-public information about Comtech’s forthcoming negative quarterly earnings results. According to the SEC complaint, Peterman allegedly received a confidential presentation...
2024-12-11 4:30 PM EST
SEC Charges Three Individuals with Impersonating Financial Professionals in Fraud Scheme Targeting Retail Investors
Washington, D.C.--(Newsfile Corp. - December 11, 2024) - The Securities and Exchange Commission today charged Chibuzo Augustine Onyeachonam, Stanley Chidubem Asiegbu, and Chukwuebuka Martin Nweke-Eze with fraud for impersonating legitimate securities brokers and investment advisers in an elaborate online scheme through which the defendants stole more than $2.9 million from at least 28 investors. As alleged in the SEC’s complaint, from at least 2019 to the present, the three defendants, who...
2024-12-11 10:32 AM EST