These are some of the compliance-related stories that recently caught my attention.
SEC Investor Advocate’s 2019 objectives include broker-dealer standards of conduct, Kokesh concerns by Amanda Maine, J.D. in Jim Hamilton’s World of Securities Regulation
The SEC’s Office of the Investor Advocate (OIA) has submitted a report on its objectives for fiscal year 2019, which begins on October 1, 2018. The report expects the Commission to examine the impact on investors from proposed changes in the standards of conduct for broker-dealers, updates to its transfer agent and ETF rules, and enhancements to disclosures by mutual funds and variable annuities. The report also states that the SEC is considering possible approaches to help restore its ability to impose disgorgement orders after five years in the wake of the Kokesh decision, which may require legislative intervention. [More…]
A tiny nugget from the SEC’s new FOIA rules by Cydney Posner in Cooley Pubco
Yesterday, the SEC posted final amendments to its rules related to FOIA, the Freedom of Information Act, to conform to the FOIA Improvement Act of 2016 and to otherwise update and streamline the regulations. The changes will become effective 30 days after publication in the Federal Register. Due to the scope of the amendments, these final FOIA rules replace the SEC’s existing FOIA rules in their entirety, revamping the organization of the rules. What does that mean? It means that your standard form FOIA SEC rule references are probably soon to be out of date. [More…]
Three Insider Trading Cases by T. Gorman in SEC Actions
Despite the plethora of often complex judicial opinions the basic offense has remained the same: a corporate insider with confidential, material, non-public information that belongs to the firm converts it to his or her personal use either trading for their own account or furnishing the information to a relative or friend who trades and obtains the profits. Two new cases filed by the Commission and one jury verdict in a criminal case illustrate the point. [More…]
The Jim Jordan Compliance Angle… by Matt Kelly in Radical Compliance
Interesting detail about the proto-scandal swirling around Jim Jordan, the Republican congressman accused of turning a blind eye to sexual misconduct on the Ohio State wrestling team when he was assistant coach there: Jordan might have violated the school’s sexual harassment Code of Conduct.
For those not following this story, Jordan has represented Ohio’s 4th congressional district since 2007, and is a leading voice in the Tea Party wing of the party. He also worked as an assistant coach for the Ohio State wrestling team from 1987 to 1995. Earlier this month, numerous former wrestling students from that era accused Jordan of ignoring complaints they tried to raise about sexual abuse from a team doctor, Richard Strauss, who committed suicide in 2005. [More…]
Assessing compliance training by Kaplan & Walker
Training is not just another part of every C&E program; it is generally the part that touches the work lives of more of a company’s employees than do other elements. It should therefore be a significant focus of any program assessment. The possible avenues of inquiry here are broad, as one would imagine, and each assessment will have its own areas of particular focus. But a partial list of core training assessment questions might include the following. [More…]
U.S. Finance Watchdog Takes Aim at Cryptocurrency
The Financial Industry Regulatory Authority (FINRA), a self-regulatory body for broker-dealersm has released a regulatory notice to mandate its member to notify the authority if they engage in any cryptocurrency activity. Though the notice outlines what constitutes cryptocurrency activities, it does not detail how FINRA would use these disclosures nor does its website show any explanation. Since the self-regulatory body focuses on protecting retail investors in all financial markets, it can be assumed that the disclosures would help in this goal. [More…]
Pan Mass Challenge
On Pan-Mass Challenge weekend, August 3 – 5, I will bike across Massachusetts to raise money for life-saving cancer research and treatment at Dana-Farber Cancer Institute. 100% of your donation will go to cancer research and treatment at Dana-Farber Cancer Institute through its Jimmy Fund. I have made a personal commitment to raise $8000.00. I hope, that as a reader of Compliance Building, you will support my fundraising effort. You can donate through any of the following links:
Thank you,
Doug
