Compliance Bricks and Mortar for June 17

These are some of the compliance related questions that recently caught my attention.

Power plants are no longer America’s biggest climate problem. Transportation is. by Brad Plumer in Vox

Here’s an important energy milestone: For the first time since 1979, America’s cars, trucks, and airplanes emit more carbon dioxide than its power plants do. … But power plants are only about one-third of America’s CO2 emissions. Transportation, another third (and now the biggest source), remains much tougher to address. In fact, since 2013, transport emissions have been creeping upward again. [More…]

You won’t believe what gets an email flagged at Goldman: CNBC has the list by Eamon Javers

CNBC has obtained a document detailing more than 180 phrases flagged for scrutiny by the monitoring system. The document was produced in 2008, and the firm has updated its search terminology since then. But the list gives a rare peek inside a large bank’s real-time compliance surveillance operation, and reveals details of how that process works that even veteran Wall Street executives may not know. [More…]

The Orlando Tragedy and the Compliance Profession by Michael Scher in the FCPA Blog

The vigil in Florida’s state capital is one of many around the world. It’s in an old church. LGBT folks and families surround me. Police are here but I still feel threatened, checking the exits just in case. Is this the way LGBT kids feel; why they go to Pulse to feel normal, have fun, not be another target after so many? It’s crazy. They shouldn’t have to live this way. Slaves from near-by plantations made the bricks and built this church long ago. America can do better. – See more at: http://www.fcpablog.com/blog/2016/6/15/mike-scher-the-orlando-tragedy-and-the-compliance-profession.html#sthash.9kYaG9mA.dpuf [More…]

SEC Morgan Stanley Cybersecurity Enforcement Action: Key Takeaways by John Reed Stark

There are a slew of important takeaways from the SEC action, especially that cybersecurity failures can, and will, happen to any financial firm. And in this instance, after recognizing its cybersecurity failures, Morgan Stanley did just about everything right. Even better than right – Morgan Stanley actually excelled in its response. [More…]

Whistleblowers: No Reasonable Belief of Violation, No Protection by T. Gorman in SEC Actions

A recent decision by the eighth circuit court of appeals now adds to the debate over who can qualify as a whistleblower. Beacon v. Oracle America, Inc., No. 15-1729 (8th Cir. Decided June 6, 2016). There the court concluded that one must “establish that a reasonable person in his [the whistleblower’s] position, with the same training and experience, would have believed . . .” that the conduct complained of violated the federal securities laws to be engaged in protected activity. [More…]

Last weekend I rode in the B2VT. It was a grueling bike ride over 130 miles from the historic battlefields of Lexington to the Okemo Mountain in Vermont. I decided to ride because of my friend Jeff. He enjoyed big challenges and I loved taking on big challenges with him.

Jeff was diagnosed with cancer just before Thanksgiving. This terrible disease killed him just after the New Year. I’m riding the Pan-Mass Challenge raising money to fight cancer. I would appreciate your support. [Donate Here] Jeff’s birthday would have been this week. As a gift to my lost friend, I’m matching any donations I receive this week until I reach my fundraising goal.

Jeff would have loved the B2VT ride, especially once it took a turn for the worse. At mile 80, the already cool day turned cold in the mountains of New Hampshire and Vermont. Then cold rain came down in buckets and only occasionally relented to drizzle.

It reminded of the time Jeff and I competed in the Boston 24 Hour Adventure Race. In the middle of the night while trying to navigate to the waypoints in Blue Hills, it started raining. He quoted the line from Caddyshack: “I’d keep playing. I don’t think the heavy stuff’s gonna come down for quite awhile.” So we kept going and pushing on to the finish.

Back to this weekend, many riders in the B2VT were cursing the rain. Me too. It felt more like October than June. Riders were hurting. Some were starting to experience hypothermia. I pedaled on. If Jeff was still alive and along side me I know what he would have said: “I’d keep playing. I don’t think the heavy stuff’s gonna come down for quite awhile.” So I kept playing.

It’s what Jeff would have wanted.

I can’t think of a better way to remember him than to to ride for him and raise money to fight what killed him. Maybe we can help save the next person.

[Donate Here]