Bruce Carton of Securities Docket, Francine McKenna of Re: The Auditors and I are attending the SEC’s news conference virtually and taking notes using the CoverItLive tool embedded below. SEC Enforcement News Conference Read more »
Tag: SEC
Custody of Funds or Securities of Clients by Investment Advisers
The SEC released the final version of its new custody rule (.pdf). The Commissioners had announced their approval of the rule on December 17 and then released the final text on December 30. The rule goes into effect 60 days after publication in the Federal Register. The amendments are designed to provide additional safeguards under … Read more »
SEC Approves New Custody Rule
The Securities and Exchange Commission adopted the proposed Custody Rule for investment advisers originally proposed last May. (See: SEC Releases Proposed Custody Rules for Investment Advisers) As is typical with the SEC, they announced the rule was approved before they made the final version of rule available. The rule amendments will be effective 60 days … Read more »
How Fraudsters Try to Look Legitimate
The SEC is putting its new investor-focused website to good use: Investor.gov. The first item that caught my eye was their article on how fraudsters use fake SEC registrations and bogus seals to make them look legitimate: Fake Seals and Phony Numbers: How Fraudsters Try to Look Legit. They offer these five pieces of advice: … Read more »
Review of SEC’s Process for Selecting Adviser Examination Targets
To continue the Madoff dogpile on the SEC, the SEC’s Office of Inspector General released a report criticizing the SEC’s process for selecting investment advisers and investment companies for examination. Review of the Commission’s Processes for Selecting Investment Advisers and Investment Companies for Examination As a result of OCIE never having examined Madoff’s investment firm, … Read more »
Federal Regulators Issue Final Model Privacy Notice Form
Eight federal regulatory agencies today released the final model privacy notice form. It’s supposed to make it easier for consumers to understand how financial institutions collect and share information about consumers. Under the Gramm-Leach-Bliley Act, institutions must notify consumers of their information-sharing practices and inform consumers of their right to opt out of certain sharing … Read more »
Fund Registration Act Will Cost the SEC $140 Million
The Congressional Budge Office released a cost estimate of H.R. 3818, the Private Fund Investment Advisers Registration Act of 2009. Obviously, there will be an additional cost to fund managers that need to register with the SEC and operate under the SEC rules and oversight. There is also a real cost to the SEC (and … Read more »
Accidental Securities Underwriter
So you made almost $1 million on selling penny stocks through the pink sheets on $75,000. Nice pay day. Then the SEC makes you give it all back. This is the sad tale of Rodney Schoemann, a professional stock market trader. Schoemann had previous purchased some restricted shares in Stinger Systems, Inc. that were marked … Read more »
Draft SEC Strategic Plan for 2010-2015
The Securities and Exchange Commission is seeking comment on its draft Strategic Plan. The document includes drafts of the SEC’s mission, vision, values, strategic goals, major initiatives, and performance metrics for fiscal years 2010 through 2015. Draft SEC Strategic Plan for 2010-2015 Here is the new vision: The SEC strives to promote a market environment … Read more »
SEC’s Office of Compliance Inspections and Examinations Gets a Review
The SEC’s Division of Enforcement was not alone in getting a report from the SEC’s Inspector General: Improvements Needed Within the SEC’s Division of Enforcement. The Office of Compliance Inspections and Examinations also got a review from the Inspector General: Review and Analysis of OCIE Examinations of Bernard L. Madoff Investment Securities, LLC. For this … Read more »