SEC charges investment adviser in landmark Liquidity Rule case
By 
Aaron Nicodemus2023-05-08T17:03:00
The Securities and Exchange Commission (SEC) charged a New York-based investment adviser and several mutual fund trustees with aiding and abetting violations of its Liquidity Rule—the agency’s first enforcement action related to the policy.
Pinnacle Advisors was charged for “aiding and abetting Liquidity Rule violations by a mutual fund it advised and whose liquidity risk management program it administered,” according to the SEC’s press release Friday. The agency’s complaint was filed in U.S. District Court for the Northern District of New York.
The SEC also charged the fund’s two independent trustees, Mark Wadach and Lawton Williamson, and two officers of both Pinnacle Advisors and the fund it advised, Robert Cuculich and Benjamin Quilty, with aiding and abetting Liquidity Rule violations.
THIS IS MEMBERS-ONLY CONTENT
You are not logged in and do not have access to members-only content.
If you are already a registered user or a member, SIGN IN now.
Related articles
-
News Brief
Insight Partners fined $1.5M over excess fees, conflicts of interest
Insight Venture Management agreed to pay a $1.5 million penalty in settling with the Securities and Exchange Commission for allegedly overcharging management fees and failing to disclose conflicts of interest regarding fee calculations.
-
News BriefSEC shatters whistleblower award records with $279M bounty
The Securities and Exchange Commission announced its largest-ever whistleblower award at nearly $279 million—more than double the agency’s previous record bounty.
-
News Brief
SEC fines Corvex Management $1M for SPACs conflicts
Corvex Management agreed to pay $1 million to settle allegations it failed to disclose personnel ownership in certain sponsors of special purpose acquisition companies and didn’t have policies and procedures reasonably designed to thwart conflicts of interest.
More from Regulatory Enforcement
-
News BriefSEC’s Uyeda: ‘Enforcement is the wrong way’ to handle off-channel communications
The U.S. Securities and Exchange Commission’s Mark Uyeda told an audience of investment advisers that the SEC will no longer prioritize stand-alone enforcement actions for violations of the SEC’s rules on off-channel communications.
-
News BriefAdobe agrees to $150M settlement over alleged cancellation fee violations
Adobe agreed to a $150 million settlement with the U.S. Department of Justice over accusations that it concealed software termination fees and made it difficult for customers to cancel.
-
ArticleU.K. competition regulator ‘very likely’ to use new enforcement powers despite government’s pro-growth agenda
New powers granted to the U.K.’s main competition watchdog will result in greater scrutiny, tougher enforcement, and a stark warning for companies to review their sales and marketing promotions—especially since some practices have been pushed firmly into the spotlight thanks to legislation that came into effect last year.