The next constitutional challenge to the SEC’s administrative proceedings process may be the most high-profile one to date. Lawyers for Steven A. Cohen confirmed that the SAC Capital founder intends to mount such a challenge if ongoing settlement talks are not successful.
Bruce Carton
Posted inRegulatory Enforcement
SEC Settles Insider Case Based on Credit Card Sales Data
The SEC announced a partial settlement today in an unusual insider trading case that it brought earlier this year against Bonan Huang and Nan Huang — two former employees in the fraud department at Capital One Financial Corp. The SEC alleges that the men made over $2.8 million in illegal profits by misappropriating credit card sales data on public companies.
Posted inRegulatory Enforcement
SEC’s Aguilar Looks Back at Seven Years of Progress
SEC Commissioner Luis A. Aguilar will depart the SEC at the end of this month after serving as a commissioner for over seven years. With his last day at the SEC quickly approaching, Commissioner Aguilar posted an interesting statement on the SEC’s website this week in which he shared some observations about how the SEC has evolved during his tenure.
Posted inFrom the Archive
Sharks Dispense with Professional Courtesy, Circle Slater & Gordon
I joked here earlier this month that perhaps “professional courtesy” might spare publicly traded law firm Slater & Gordon — a major player in pursuing cases for plaintiffs in Australian securities class actions — from ending up on the receiving end of a shareholder class action. Alas, that is looking less and less likely and the sharks are circling.
Posted inRegulatory Enforcement
Navigating Dodd-Frank’s Whistleblower Provisions and the FCPA
The SEC recently reported that FY 2015 brought a new high for whistleblower tips regarding FCPA violations, and reiterated that the Dodd-Frank whistleblower incentive provisions have been a “game-changer” for FCPA enforcement. Last week, I hosted an interesting webcast on the subject of “Navigating the Minefield of Dodd-Frank’s Whistleblower Provisions and the FCPA.”
Posted inRegulatory Enforcement
“America’s Most Hated Man” Martin Shkreli Arrested for Securities Fraud
In recent weeks, Martin Shkreli, CEO of Turing Pharmaceuticals AG, has become the the “most hated man in America” for unapologetically raising the price of an important HIV-fighting drug from $13.50 to $750. It was with unbridled glee, then, that the media reported that Shkreli was arrested this morning on securities fraud charges related to a biotechnology firm he founded in 2011 called Retrophin Inc.
Posted inFrom the Archive
CFTC Brings First Insider-Trading Case
Until last week, the CFTC had never brought an insider-trading case for commodities trading. Indeed, the only example of insider commodities trading that most lawyers (or anyone else) could probably point to would be the ill-fated effort of the Duke brothers in the Eddie Murphy movie Trading Places. Four years after adopting Regulation 180.1, the CFTC has brought its first such case against a gasoline trader who allegedly was privy to, and traded upon, inside information regarding the intended trading of his employer.
Posted inRegulatory Enforcement
The Philippines Not Playing Around With Pyramid Schemers
The Philippines doesn’t make a lot of news in the securities enforcement world. When the Philippines Securities and Exchange Commission does prosecute and convict someone for a major securities fraud, however, it doesn’t play around!
Posted inRegulatory Enforcement
SEC Trial Scorecard Update: Agency Prevails in First FY 2016 Trial
Last week, the SEC prevailed at trial in SEC v. National Note of Utah and Wayne L. Palmer — a bench trial alleging a Ponzi scheme. Following this victory, the SEC is now 1-0 in its FY 2016 federal court trials.
Posted inRegulatory Enforcement
Grand Opening: Photo Wing of the Enforcement Action Art Gallery!
In September 2015, I was motivated by an awesome drawing of the five SEC commissioners reimagined as WWE wrestlers to launch the Enforcement Action Art Gallery. It occurs to me, however, that there are many photographs that need to be preserved, as well. Welcome to the new Photo Wing!