These are some of the compliance-related stories that recently caught my attention.
Automation & Control Lessons in Latest SEC Enforcement by Matt Kelly in Radical Compliance
We have an interesting enforcement action from the Securities and Exchange Commission this week, where the agency dinged a telecom company and its former executives $1.9 million for misleading statements on revenue projections.
The kicker: it looks like the company’s own sales automation software created the audit trail that painted the company into an enforcement corner. [More…]
Assessing the E&C Investigations Process
Investigations are one of the more difficult and riskier activities of an E&C program. Poorly-conducted investigations can create serious legal risks for an organization. In addition, the mishandling of investigations can damage the way in which employees perceive E&C programs, in particular where the report was initially made to the E&C department, through a hotline or otherwise. The mishandling of E&C investigations can corrode the sense of organizational justice and the culture of ethics and compliance at an organization. In short, E&C-related investigations are a serious business, and assessing them is therefore an important component of assessing an E&C program. [More…]
Embrace the best compliance resource of all by Richard Bistrong
I agree with Martin’s premise that through too much standardization, we might lose the best compliance resource we have: our gut. He’s right to warn that a myopic focus on “running searches and ticking the boxes” can divert our attention from the atmospherics of transactions, where a hunch might lead to hitting the pause button, even if we’re not sure exactly why. [More…]
Securities Regulation Daily’s top 10 developments for July 2018 by Brad Rosen, J.D.
As summer heads into its final stretch, Securities Regulation Daily will continue bringing all the legal and regulatory news for the financial markets fit to print. As always … stay tuned. [More…]