The Securities and Exchange Commission (“SEC”) began the first month of the year 2014 with a range of new regulatory charges and fines issued against financial individuals and advising firms, including a portfolio manager formerly associated with a private equity firm. Specifically, Oppenheimer & Co. was charged with fraud for its fund valuation in late January. Brian Williamson was first faced with charges in August 2013, and on January 22, 2014, he agreed to settle the matter. This included paying a $100,000 fine, a cease-and-desist order and being banned from the securities industry for two years for “making misrepresentations about the valuation of a fund consisting of other private equity funds.”
Read MoreJacko Law Group Blog
Last year, the Securities and Exchange Commission (“SEC”) amended Regulation D of the Securities Act of 1933 (the “Securities Act”), by adding Rules 506(c), 506(d) and 506(e). As we have described previously, there are several considerations and requirements of Rule 506(d). In an effort to further clarify these rules, the SEC’s Division of Corporation Finance publishes updates to the Securities Act Rules Compliance and Disclosure Interpretations (“C&DIs”) section of their website titled Questions and Answers of General Applicability. This resource presents the SEC’s views, general guidance and interpretations of these and other rules adopted under the Securities Act.
Read MoreOn January 7, 2014, a deferred prosecution agreement was released, describing the settlement between J.P. Morgan Chase & Co. (“J.P. Morgan”) and U.S. prosecutors regarding J.P. Morgan’s compliance failures in its dealings with Bernard Madoff (“Madoff”) and his firm Bernard L. Madoff Investment Securities, LLC.
Read MoreThis month, the Financial Industry Regulatory Authority (“FINRA”) released a regulatory notice reminding member firms of their responsibilities concerning individual retirement account (“IRA”) rollovers and potential conflicts of interest. A conflict exists when brokerage firms have an economic incentive to rollover retirement assets into an IRA sold by the brokers. Consequently, FINRA is reminding brokers that they must evaluate whether it is in the clients best interest to transfer money from the client’s previous 401(k) Plan into an IRA rather, than having a client leave its money in the company plan. Failure to do so could constitute a violation of Rule 2111, relating to FINRA’s suitability rule.
Read MoreLegal Tip Archive
- September 2011 (5)
- April 2014 (5)
- August 2014 (5)
- September 2015 (5)
- August 2011 (4)
- October 2011 (4)
- June 2012 (4)
- July 2012 (4)
- August 2012 (4)
- October 2012 (4)
- November 2012 (4)
- January 2013 (4)
- March 2013 (4)
- April 2013 (4)
- May 2013 (4)
- June 2013 (4)
- September 2013 (4)
- October 2013 (4)
- January 2014 (4)
- February 2014 (4)
- March 2014 (4)
- May 2014 (4)
- June 2014 (4)
- July 2014 (4)
- December 2014 (4)
- January 2016 (4)
- November 2011 (3)
- December 2011 (3)
- January 2012 (3)
- February 2012 (3)
- April 2012 (3)
- May 2012 (3)
- September 2012 (3)
- December 2012 (3)
- July 2013 (3)
- August 2013 (3)
- November 2013 (3)
- December 2013 (3)
- January 2015 (3)
- February 2015 (3)
- March 2015 (3)
- July 2015 (3)
- August 2015 (3)
- November 2015 (3)
- February 2016 (3)
- March 2012 (2)
- February 2013 (2)
- October 2014 (2)
- November 2014 (2)
- April 2015 (2)
- May 2015 (2)
- June 2015 (2)
- October 2015 (2)
- December 2015 (2)
- July 2011 (1)
- September 2014 (1)