As cybersecurity attacks have continued to gain prominence as a threat posing critical risk management and compliance challenges for financial institutions, the Securities and Exchange Commission (SEC) has emerged as an active federal regulator in this arena. In September 2017, the SEC announced creation of a Cyber Unit housed within the SEC’s Enforcement Division that … Continue reading
By Mark Nebrig and Fielding Huseth. No one doubts that Judge Brett Kavanaugh, President Trump’s pick for the Supreme Court, would have an impact on the court’s jurisprudence if confirmed. For financial services and publicly-traded companies, as well as those that support them, one area that should not be overlooked is his potential influence on securities fraud … Continue reading
By John Fagg, Nader Raja, and Kristen Kenley. On July 11, 2018, pursuant to a Presidential Executive Order, the Department of Justice announced the formation of a new multi-agency task force on Market Integrity and Consumer Fraud that will focus on combating consumer and market fraud. Deputy Attorney General Rod Rosenstein, who will chair the … Continue reading
By Neil Bloomfield and Kristen Kenley Double jeopardy prevents criminal defendants from being convicted of the same crime twice. Res judicata prevents civil litigants from facing repeated claims by an overly aggressive plaintiff. Unfortunately, in the years after the financial crisis financial institutions were essentially unprotected from receiving multi-million dollar demands by multiple regulators for the … Continue reading
On February 12, 2018, the U.S. Securities and Exchange Commission announced an initiative to address undisclosed conflicts of interest by investment advisers in the context of mutual fund share classes. Dubbed the Share Class Selection Disclosure (“SCSD”) Initiative, the program encourages investment advisers to self-report potential violations by June 12, 2018, in exchange for favorable … Continue reading
On Feb. 22, 2018, the Securities and Exchange Commission (SEC) issued its first interpretive guidance since October 2011 on public companies’ cybersecurity risk and incident disclosure obligations. Although public companies are not subject to an express obligation to disclose data security threats under federal law or SEC regulations, the latest guidance confirms that “companies nonetheless … Continue reading
Charlotte Litigation Member Ed O’Keefe will be presenting at the 2018 Financial Markets Association Conference on April 18. His presentation will discuss key legislative and regulatory initiatives affecting financial services companies, the rulemaking agenda for the SEC and the CFTC, and regulatory burden relief initiatives undertaken by the banking agencies to date.
With the official announcement that Charles Cain will replace Kara Brockmeyer as head of the SEC’s Foreign Corrupt Practices Act (FCPA) Unit, it is more likely that we will see a return to the enforcement trends and outcomes of recent years. Mr. Cain has served as Acting Chief of the FCPA Unit since April 2017, … Continue reading