Toward the end of every week, Compliance Week puts a snarky spotlight on individuals, companies, and governments that “Failed It” in the areas of ethics and compliance during the week and gives out kudos to those that “Nailed It.” If we missed any or if you have any nominations for next week, let us know on Twitter (@ComplianceWeek) or in the comments section below.
Nailed It
CFTC: If the government was looking to signal to the business world that it’s getting serious about using data analytics to enhance its enforcement reach, it gave companies nearly a billion reasons to pay attention. The Commodity Futures Trading Commission-led $920 million action against JPMorgan Chase for allegedly manipulating the precious metals market with false trades in the early 2000s would not have been possible without the use of data analytics to prove its case. In fact, the CFTC initially walked away from the case seven years ago because it didn’t have the technological capacity to properly examine (or store) the vast amount of data needed to make its case. “We could not have brought the JPMorgan case without the data analytics program we have now,” outgoing CFTC Enforcement Director James McDonald told the Wall Street Journal. The resulting fine was the largest ever handed down by the CFTC. Rogue actors, you’ve been warned. —Dave Lefort
