Waves of fallout from the collapse of cryptocurrency trading platform FTX continue to ripple, as accounting firm Prager Metis has learned.
Aaron Nicodemus
Aaron Nicodemus is the Editor-in-Chief of Compliance Week. He previously worked as a reporter for Bloomberg Law and as business editor at the Telegram & Gazette in Worcester, Mass.
Email: aaron.nicodemus@complianceweek.com
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Posted inRisk Management
SEC fines First Horizon $325K for RegBI violations caused by merger
First Horizon Advisors will pay a $325,000 fine to settle allegations from the Securities and Exchange Commission that it violated Regulation Best Interest in part due to issues with incorporating a merged firms’ accounts into its systems.
Posted inFinancial Services
FDIC proposes requiring banks to keep better deposit records of fintech partners
The Federal Deposit Insurance Corporation proposed a new rule that would require banks to keep better deposit records on ownership of funds controlled by their financial technology partners.
Posted inRisk Management
Bank mergers will receive more antitrust scrutiny under new FDIC rule
Federal banking regulators approved a new rule for bank mergers that will require additional scrutiny of mergers for antitrust issues for large and mid-sized banks.
Posted inAccounting & Auditing
SEC charges Kubient ‘gatekeepers’ with failing to stop CEO’s AI fraud
Gatekeepers including chief financial officers and the chair of the audit committee have a responsibility to shareholders to report fraud wherever they find it–especially when that fraud involves an artificial intelligence tool meant to combat fraud.
Posted inRegulatory Enforcement
SEC nets $1.3M in off-channel comms sweep against municipal advisory firms
Fines for off-channel communications use by employees just keep on coming, with 12 municipal advisory firms fined a total of $1.3 million in the latest Securities and Exchange Commission sweep.
Posted inRegulatory Enforcement
FINRA fines Wells Fargo unit $3M for repeatedly pushing ‘unsuitable’ investments
A Wells Fargo subsidiary will pay nearly $3 million to settle allegations that it failed to properly supervise an employee attempting to sell unsuitable investment products to retail investors–the fifth time it has been penalized for similar supervisory failings since 2020.
Posted inAccounting & Auditing
Chinese regulators impose six-month ban, $62M fine on PwC’s China unit
Chinese authorities banned PwC’s Chinese unit from performing audits in the country for six months, labeling the subsidiary’s flawed audit work as complicit in the failure of giant property developer Evergrande.
Posted inRegulatory Enforcement
Wells Fargo agrees with OCC to shore up BSA/AML, sanctions program deficiencies
The Treasury Department’s Office of the Comptroller of the Currency ordered Wells Fargo to make “comprehensive corrective actions” to its Bank Secrecy Act/anti-money laundering and U.S. sanctions programs, along with receive permission from the OCC to offer new products and services or enter new geographic markets with “medium or high” BSA/AML and sanctions risks.
Posted inEthics & Culture
Compliance Week Europe: An Amsterdam discussion on increased role of CCOs in business
Compliance Week and its sister organization the International Compliance Association will bring together more than 200 GRC professionals for Compliance Week Europe Oct. 15-16 in Amsterdam to discuss how they’re making sense of the constantly changing regulatory landscape.
