Archive for the ‘SEC’ Category

According to Gibson Dunn’s 2014 Mid-Year FCPA Update, the Department of Justice (DOJ) and the U.S. Securities and Exchange Commission (SEC) have been aggressively pursuing enforcement actions against both individuals and companies who violate the Foreign Corrupt Practices Act (FCPA).  According to the report, the FCPA’s anti-bribery provisions make it illegal for companies to offer [...]

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In recent months, the U.S. Securities and Exchange Commission (“SEC”) has taken several enforcement actions against individuals and entities who perpetrate investment scams on unwitting investors, which are commonly referred to as “Ponzi” or “pyramid” schemes.  The SEC has noted that “curtailing Ponzi schemes and holding accountable the individuals responsible for these scams is a [...]

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On June 16, 2014, the U.S. Securities and Exchange Commission (“SEC”) charged Paradigm Capital Management with violations of securities law for engaging in unlawful transactions and retaliating against a whistleblower who reported Paradigm’s illegal activity to the SEC.  This marks the first time that the SEC has brought an enforcement action against an employer under [...]

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Another federal court has ruled that internal reports of securities violations are protected by the whistleblower protection provision of the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010 (“Dodd-Frank”).  On May 21, 2014, the United States District Court for the District of Nebraska held in Bussing v. COR Clearing, LLC, et al., that Julie [...]

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The Securities and Exchange Commission (“SEC”) announced on Tuesday, June 3, 2014, that it had awarded two whistleblowers a total of $875,000 for information they provided to the SEC that led to a successful enforcement action.  Given its commitment to ensuring the anonymity of SEC whistleblowers, the agency declined to provide the identities of the [...]

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The Securities and Exchange Commission (“SEC”) denied a whistleblower an award because the individual failed to submit a claim for the whistleblower reward within the required 90-day time period.  This news underscores how important it is for whistleblowers who have submitted tips to the SEC carefully track the SEC Office of the Whistleblower’s Notices of [...]

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The Commodity Futures Trading Commission (“CFTC”) announced earlier this week that it had issued its first award pursuant to the agency’s whistleblower program, which was created by the Dodd-Frank Wall Street Reform and Consumer Protection Act of 2010.  The program rewards whistleblowers for providing the government information regarding illegal activity in the trading of a [...]

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The Securities and Exchange Commission (“SEC”) announced on April 9, 2014, that it reached a settlement with Hewlett-Packard Company (“HP”) to resolve charges filed by the U.S. government alleging that HP violated the Foreign Corrupt Practices Act (“FCPA”) when HP officials made multiple multi-million dollar payments to Russian, Polish, and Mexican government officials to obtain [...]

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The Securities and Exchange Commission (“SEC”) Whistleblower Chief, Sean McKessy, appeared before the Georgetown University Law Center Corporate Counsel Institute earlier this month and offered some advice to in-house attorneys.  According to Law360, Mr. McKessy suggested that in-house attorneys  may be disciplined for drafting contracts that offer incentives for employees to keep alleged securities fraud [...]

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The Securities and Exchange Commission (“SEC”) Office of the Whistleblower posted its March 2014 “Notices of Covered Action” yesterday.  This list, which the SEC updates monthly, notifies the public, and in particular those who have provided information to the SEC regarding perceived securities violations through the SEC Whistleblower Program, of enforcement actions that the commission [...]

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