Arcadia fined $90K for custody rule violations; CCO to undergo training
By 
Aaron Nicodemus2022-09-21T20:33:00
A New York-based investment adviser will pay a $90,000 penalty for violating a Securities and Exchange Commission (SEC) rule by failing to obtain “surprise” examinations of advisory client assets.
Arcadia Wealth Management agreed Monday to the fine, a cease-and-desist order, and a censure. As part of a settlement, Arcadia’s chief compliance officer must complete 30 hours of compliance training relating to the Investment Advisers Act within one year.
Arcadia failed to obtain surprise examinations of client funds and securities for which it had custody from 2013-19, in violation of the SEC’s custody rule, according to the agency’s order. The SEC said Arcadia failed to implement policies and procedures to prevent violations of the rule.
Related articles
-
News BriefSEC proposes expansion of RIA custody rule
The Securities and Exchange Commission proposed registered investment advisers be required to place nearly any asset, not just cash and securities, with qualified custodians, thereby expanding the scope of client assets.
-
News BriefDOJ and CFTC close investigations into crypto betting platform Polymarket, report says
The U.S. Department of Justice (DOJ) and the Commodity Futures Trading Commission (CFTC) reportedly ended two investigations into Polymarket, a popular online crypto betting service that calls itself a “prediction market.” The move continues the Trump administration’s pro-crypt agenda.
-
ArticleU.K. hopes to create ‘third way’ in AI regulation between EU and U.S.
The U.K.’s data regulator has unveiled a new enforcement approach to AI development and usage that experts say seeks to carve a middle way between the strict rules applied by the European Union (EU) and the pro-industry, light-touch regime favored by the U.S.
More from Regulatory Enforcement
-
News BriefFTC fines telehealth firm over deceptive weight-loss claims and fake reviews
The U.S. Federal Trade Commission said it has settled with telemedicine service Southern Health Solutions, Inc. over allegations the company used deceptive pricing and weight-loss claims, along with fake reviews and testimonials, to sell its weight-loss programs.
-
ArticleU.K. extends bullying and harassment rules to 37,000 financial services firms
Serious bullying and harassment count as misconduct in regulated financial services firms, per a July 1 clarification by the U.K. Financial Conduct Authority, which said non-financial misconduct rules now applied only to banks will extend to 37,000 more firms starting September 1, 2026.
-
News BriefDOJ clears $4.4 Billion T‑Mobile acquisition of UScellular
The U.S. Department of Justice arppoved T-Mobile’s acquisition of competitor UScellular. The move came a day after T-Mobile announced it had dropped its diversity, equity, and inclusion programs, a frequent target for Trump’s administration.