Can you be too close to your clients? Apparently so. Especially if you are an auditor. The U.S. Securities and Exchange Commission (SEC) today announced that public accounting firm Ernst & Young has agreed to pay $9.3 million to settle charges that two of the firm’s audit partners got too close to their clients on…
Read moreThe Securities and Exchange Commission (SEC) has announced that Jennifer Marietta-Westberg, Deputy Chief Economist and Deputy Director of the SEC’s Division of Economic and Risk Analysis, is planning to leave the agency after 10 years of public service. Dr. Marietta-Westberg joined the SEC as a Visiting Scholar in 2006. She became an Assistant Director in…
Read moreThe Securities and Exchange Commission (SEC) has announced that a Portuguese-based telecommunications company has agreed to pay a $1.25 million penalty for its failure to properly disclose the nature and extent of credit risk involved in its investments in debt instruments issued by companies of Portuguese conglomerate Grupo Espirito Santo. An SEC investigation found that Portugal Telecom…
Read moreThe Securities and Exchange Commission (SEC) has announced that a self-proclaimed “stock trading whiz kid” and his stock newsletter company in Los Angeles have agreed to pay nearly $1.5 million to settle charges that they defrauded subscribers through false statements and misrepresentations. According to the SEC’s complaint, Manuel E. Jesus and his newsletter company Wealthpire Inc.…
Read moreThe Securities and Exchange Commission (SEC) has announced that a subsidiary of Oklahoma-based BOK Financial Corporation (BOKF:NASDAQ) has agreed to pay more than $1.6 million to settle charges that it concealed numerous problems and red flags from investors in municipal bond offerings to purchase and renovate senior living facilities. The agency also filed a complaint in federal…
Read moreThe Securities and Exchange Commission (SEC) has announced that two investment advisory firms are settling charges related to compliance failures within their wrap fee programs. SEC investigations found that St. Petersburg, Fla.-based Raymond James & Associates and Milwaukee-based Robert W. Baird & Co. failed to establish policies and procedures necessary to determine the amount of commissions their…
Read moreThe Securities and Exchange Commission has announced that Sarah G. ten Siethoff has been named Deputy Associate Director in the Division of Investment Management’s Rulemaking Office. As Deputy Associate Director, Ms. ten Siethoff will develop recommendations for rulemaking and other policy initiatives under the Investment Company and Investment Advisers Acts of 1940. Ms. ten Siethoff also…
Read moreIt is clear that US securities industry regulator the Securities and Exchange Commission (SEC) is pleased with its Whistleblower program. While bureaucratic / government offices seldom put out puffery-like press releases, the SEC is clearly heavily marketing its Whistleblower program and enticing future potential tattle-tellers by dangling the very large carrot of multi million dollar…
Read moreThe Securities and Exchange Commission (SEC) has adopted amendments to several Investment Advisers Act rules and the investment adviser registration and reporting form to enhance the reporting and disclosure of information by investment advisers. The amendments will improve the quality of information that investment advisers provide to investors and the Commission. SEC Chair Mary Jo White…
Read moreThe Securities and Exchange Commission (SEC) has announced that a California-based health insurance provider has agreed to pay a $340,000 penalty for illegally using severance agreements requiring outgoing employees to waive their ability to obtain monetary awards from the SEC’s whistleblower program. According to the SEC’s order, Health Net Inc. violated federal securities laws by taking away…
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