Securities and Exchange Commission

SEC News: Wedbush Settles Failure to Supervise Charge

Washington DC (STL.News) – The Securities and Exchange Commission announced today that Wedbush Securities Inc. will pay a $250,000 penalty and has agreed to be censured to settle its failure to supervise charge in a pending administrative proceeding. According to the SEC’s March 2018 order instituting proceedings, Wedbush ignored numerous red flags indicating that one of … Continue reading SEC News: Wedbush Settles Failure to Supervise Charge

SEC News: SEC Names Gabriel Benincasa As Its First Chief Risk Officer

Washington DC (STL.News) — The Securities and Exchange Commission today announced that Gabriel Benincasa has been named the Commission’s first Chief Risk Officer.  This position was created by SEC Chairman Jay Clayton to strengthen the agency’s risk management and cybersecurity efforts. As Chief Risk Officer, Mr. Benincasa will coordinate the SEC’s continued efforts to identify, monitor, … Continue reading SEC News: SEC Names Gabriel Benincasa As Its First Chief Risk Officer

Business News: SEC Modifies Timing for Filing Non-Public Form N-PORT Data to Align With Its Approach to Data Management, Cybersecurity

Washington D.C. (STL.News) – The Commission yesterday modified the submission deadlines for registered investment companies filing non-public monthly reports on Form N-PORT.  Form N-PORT is a new form for reporting both public and non-public fund portfolio holdings to the Commission in a structured data format.  As a result of today’s changes, rather than filing non-public monthly … Continue reading Business News: SEC Modifies Timing for Filing Non-Public Form N-PORT Data to Align With Its Approach to Data Management, Cybersecurity

SEC wants Tesla CEO Elon Musk held in contempt for tweeting

SAN FRANCISCO (AP) — Tesla CEO Elon Musk‘s tweeting habits have triggered another legal challenge from stock market regulators worried about him using his Twitter account to mislead investors. The latest dust-up emerged late Monday when the Securities and Exchange Commission asked a federal court in New York to hold Musk in contempt for violating … Continue reading SEC wants Tesla CEO Elon Musk held in contempt for tweeting

SEC News: SEC Charges Four Public Companies With Longstanding ICFR Failures

Washington DC – Jan. 29, 2019 — The Securities and Exchange Commission today announced settled charges against four public companies for failing to maintain internal control over financial reporting (ICFR) for seven to 10 consecutive annual reporting periods.  Two of the charged companies also failed to complete the required evaluation of the effectiveness of ICFR for … Continue reading SEC News: SEC Charges Four Public Companies With Longstanding ICFR Failures

Mercantile Bank Corporation Increases Regular Cash Dividend

  GRAND RAPIDS, Mich./ Jan. 22, 2019 (STL.News) Mercantile Bank Corporation (NASDAQ: MBWM) (“Mercantile”) announced today that on January 17, 2019, its Board of Directors declared a regular quarterly cash dividend of $0.26 per common share, payable on March 20, 2019, to holders of record as of March 8, 2019. The $0.26 cash dividend represents … Continue reading Mercantile Bank Corporation Increases Regular Cash Dividend

SEC News: JPMorgan to Pay More Than $135 Million for Improper Handling of ADRs

Washington D.C. – The Securities and Exchange Commission (SEC) today announced that JPMorgan Chase Bank N.A. will pay more than $135 million to settle charges of improper handling of “pre-released” American Depositary Receipts (ADRs). ADRs – U.S. securities that represent foreign shares of a foreign company – require a corresponding number of foreign shares to be … Continue reading SEC News: JPMorgan to Pay More Than $135 Million for Improper Handling of ADRs

SEC News: SEC Obtains Judgment Against, John T. Place, Former CEO in Transition Management Fraud Case

U.S. Securities and Exchange Commission v. John T. Place, et al., No. 16-cv-04291 (E.D. Pa. filed Aug. 8, 2016) WASHINGTON – On November 9, 2018, the Securities and Exchange Commission (SEC) obtained a judgment against the former CEO of a brokerage consulting business who was charged by the SEC in August for his role in a … Continue reading SEC News: SEC Obtains Judgment Against, John T. Place, Former CEO in Transition Management Fraud Case

Business News: Agencies Invite Comment on a Proposal to Exclude Community Banks from the Volcker Rule

Washington DC – Five federal financial regulatory agencies on Friday invited public comment on a proposal that would exclude certain community banks from the Volcker Rule, consistent with the Economic Growth, Regulatory Relief, and Consumer Protection Act (EGRRCPA). The Volcker Rule generally restricts banking entities from engaging in proprietary trading and from owning or sponsoring hedge … Continue reading Business News: Agencies Invite Comment on a Proposal to Exclude Community Banks from the Volcker Rule

SEC News: SEC Charges an Additional 13 Unregistered Brokers Who Sold Woodbridge Securities to Retail Investors

Securities and Exchange Commission v. Robert S. “Lute” Davis, Jr., et al., No. 2:18-cv-10481 (C.D. Cal. filed December 18, 2018) Securities and Exchange Commission v. Jordan E. Goodman, No. 1:18-cv-25303 (S.D. Fla. filed December 18, 2018) Securities and Exchange Commission v. Alan H. New, et al., No. 1:18-cv-03975 (S.D. Ind. filed December 18, 2018) WASHINGTON … Continue reading SEC News: SEC Charges an Additional 13 Unregistered Brokers Who Sold Woodbridge Securities to Retail Investors

SEC News: SEC Adopts Final Rules to Allow Exchange Act Reporting Companies to Use Regulation A

Washington D.C. – The Securities and Exchange Commission (SEC) adopted final rules to allow reporting companies to rely on the Regulation A exemption from registration for their securities offerings. “Regulation A provides an exemption from registration under the Securities Act for offerings of securities up to $50 million in a 12-month period,” said Chairman Jay Clayton.  “The … Continue reading SEC News: SEC Adopts Final Rules to Allow Exchange Act Reporting Companies to Use Regulation A

SEC News: SEC Charges Former Panasonic Executives, Paul A. Margis

Washington DC – The Securities and Exchange Commission (SEC) today charged two former senior executives of the U.S. subsidiary of Panasonic Corp. with knowingly violating the books and records and internal accounting controls provisions of the federal securities laws and causing similar violations by the parent company. According to the SEC’s order against Paul A. Margis, then-CEO … Continue reading SEC News: SEC Charges Former Panasonic Executives, Paul A. Margis

SEC News: SEC Adopts Final Rules for Disclosure of Hedging Policies

Washington DC – The Securities and Exchange Commission (SEC) today approved final rules to require companies to disclose in proxy or information statements for the election of directors any practices or policies regarding the ability of employees or directors to engage in certain hedging transactions with respect to company equity securities. “The new rules will provide for … Continue reading SEC News: SEC Adopts Final Rules for Disclosure of Hedging Policies

SEC News: Scott W. Bauguess, Deputy Director of the Division of Economic and Risk Analysis, to Leave the Agency After a Decade of Service

Washington DC – The Securities and Exchange Commission (SEC) today announced that Scott W. Bauguess, Deputy Director of the Division of Economic and Risk Analysis (DERA) and Deputy Chief Economist, will leave the agency in January after more than 11 years of service.  Dr. Bauguess joined the division in 2007 as a financial economist, assumed leadership of … Continue reading SEC News: Scott W. Bauguess, Deputy Director of the Division of Economic and Risk Analysis, to Leave the Agency After a Decade of Service

SEC News: SEC Obtains Final Judgment Against Suburban Chicago Tech Executive, Gregory E. Webb

SEC v. Gregory E. Webb, et al., No. 11-CV-7152 (N.D. Ill. filed Oct. 11, 2011) WASHINGTON – The Securities and Exchange Commission has obtained a final judgment against the former Chairman and CEO of a company purportedly in the homeland security business. In October 2011, the SEC charged Gregory E. Webb, the Chairman and CEO … Continue reading SEC News: SEC Obtains Final Judgment Against Suburban Chicago Tech Executive, Gregory E. Webb

SEC News: SEC Charges Former New York Investment Advisor, Hector May and Daughter, Vania Bell, With Conducting a Ponzi Scheme

Washington D.C. – The Securities and Exchange Commission (SEC) today charged a former Rockland County, New York-based investment adviser and his daughter with conducting a multi-million dollar Ponzi scheme that defrauded local community members as well as members of their family and close friends. The SEC alleges that Hector May, an investment adviser representative and the president … Continue reading SEC News: SEC Charges Former New York Investment Advisor, Hector May and Daughter, Vania Bell, With Conducting a Ponzi Scheme

SEC News: SEC Halts Alleged Insider Trading Ring Spanning Three Countries

Securities and Exchange Commission v. Rajeshwar R. Gannamaneni, Deepthi Gandra, and Linga R. Gannamaneni, No. 18-CV-11390 (S.D.N.Y. filed December 6, 2018) WASHINGTON – The Securities and Exchange Commission (SEC) has filed insider trading charges against an IT contractor and two others he illegally tipped with confidential client information he stole while working in the Singapore branch … Continue reading SEC News: SEC Halts Alleged Insider Trading Ring Spanning Three Countries

SEC News: SEC Files Subpoena Enforcement in Possible Market Manipulation Scheme

Securities and Exchange Commission v. NVC Fund LLC and Frank Ekejija, No. 2:18-mc-00164 (C.D. Cal. filed November 30, 2018) WASHINGTON – The Securities and Exchange Commission (SEC) filed a subpoena enforcement action against NVC Fund LLC and its principal, Frank Ekejija, seeking an order directing them to comply with an investigative subpoena for documents and testimony. … Continue reading SEC News: SEC Files Subpoena Enforcement in Possible Market Manipulation Scheme

Business News: SEC Charges Owner of Options Trading Website for Defrauding Retail Investors

Securities and Exchange Commission v. Mark Suleymanov, No. 2:18-cv-06854 (E.D.N.Y. filed December 3, 2018) WASHINGTON – The Securities and Exchange Commission today charged Mark Suleymanov of Glen Cove, New York with engaging in an online binary options scheme that defrauded retail investors out of approximately $4 million. The SEC’s complaint alleges that from at least … Continue reading Business News: SEC Charges Owner of Options Trading Website for Defrauding Retail Investors

SEC News: SEC Charges Kentucky Man for Role in Nationwide Oil Investment Scheme

Securities and Exchange Commission v. Jared Gabriel Forrester, Civil Docket No. 4:18-cv-00283-RSB-JEG (S.D. Ga. filed November 30, 2018) WASHINGTON – The Securities and Exchange Commission charged a 35-year-old Kentucky man for his role in a scheme that resulted in the fraudulent offering and sale of at least $15 million of securities to more than 150 … Continue reading SEC News: SEC Charges Kentucky Man for Role in Nationwide Oil Investment Scheme

SEC News: SEC Obtains Final Judgement Against Steven A. Newman

SEC v. Zev Saltsman, et al., Civil Action No. 07-CV- 4370 (NGG) (E.D.N.Y.) (filed October 19, 2007) WASHINGTON – On November 9, 2018, the Honorable Nicholas G. Garaufis of the United States District Court for the Eastern District of New York entered a final judgment against defendant Steven A. Newman.  The final judgment imposes on … Continue reading SEC News: SEC Obtains Final Judgement Against Steven A. Newman

Securities and Exchange Commission News: Kurt Gottschall Named Director of Denver Office

Washington D.C. – The Securities and Exchange Commission today announced that Kurt L. Gottschall has been named Director of the Denver Regional Office. Mr. Gottschall began working in the Division of Enforcement in the Denver office in 2000 as a staff attorney before becoming a Branch Chief in 2003 and an Assistant Regional Director in 2010.  … Continue reading Securities and Exchange Commission News: Kurt Gottschall Named Director of Denver Office

SEC News: SEC Announces Settlement in Fraud Case Against Former Investment Adviser, Cornelius Peterson

Securities and Exchange Commission v. James S. Polese, et al., Civil Action No. 18-cv-10186 (D. Mass., filed January 31, 2018) WASHINGTON – The Securities and Exchange Commission (SEC) announced today the entry of a final judgment against Cornelius Peterson, a former investment adviser at a large financial institution who was charged with misappropriating client funds. … Continue reading SEC News: SEC Announces Settlement in Fraud Case Against Former Investment Adviser, Cornelius Peterson

SEC News: SEC Brings Additional Charges in New York Boiler Room Scheme Targeting Seniors

Securities and Exchange Commission v. Mark Burnett, Jeffrey Miller, Christian Romandetti, Frank Sarro, Anthony Vassallo, and Elite Stock Research, Inc., No. 18-cv-06501 (E.D.N.Y. filed Nov. 15, 2018) WASHINGTON – The Securities and Exchange Commission (SEC) today brought additional charges against a Long Island, New York-based boiler room previously sued for defrauding elderly and unsophisticated investors.  The … Continue reading SEC News: SEC Brings Additional Charges in New York Boiler Room Scheme Targeting Seniors

SEC News: SEC Charges Giga Entertainment Media, Former Officers and Directors With Fraud in Pay-For-Download Campaign

Washington D.C. – The Securities and Exchange Commission today charged Giga Entertainment Media Inc. and five of its former officers and directors—Gary Nerlinger, Jarret Streiner, Lawrence Silver, Alfred Colucci, and Charles Noska—with fraud in connection with a scheme to mislead investors. According to the SEC’s complaint, between February and August 2016, the company bought at least … Continue reading SEC News: SEC Charges Giga Entertainment Media, Former Officers and Directors With Fraud in Pay-For-Download Campaign

SEC News: Court Prohibits Former Ramapo Town Supervisor from Participating in Muni Offerings and Orders Him to Pay Penalties

Litigation Release No. 24351 / November 15, 2018 Securities and Exchange Commission v. Town of Ramapo, et al., No. 16-cv-2779 (S.D.N.Y. filed Apr. 14, 2016) WASHINGTON – A federal court has prohibited the former Town Supervisor of the Town of Ramapo, N.Y. from participating in offerings of municipal securities and ordered him to pay $327,000 … Continue reading SEC News: Court Prohibits Former Ramapo Town Supervisor from Participating in Muni Offerings and Orders Him to Pay Penalties

SEC News: Defendant in SEC Enforcement Action Pleads Guilty to Investment Adviser Fraud and Lying to the SEC

Securities and Exchange Commission v. Richard G. Cody, et al., No. 16-cv-12510 (D. Mass.) United States v. Richard G. Cody, No. 17-cr-10291 (D. Mass.) WASHINGTON – On November 9, 2018, Richard G. Cody, a former investment adviser and broker representative whom the Securities and Exchange Commission charged with defrauding Massachusetts retirees, pled guilty to criminal … Continue reading SEC News: Defendant in SEC Enforcement Action Pleads Guilty to Investment Adviser Fraud and Lying to the SEC

SEC News: SEC Settles Insider Trading Claims Against Former Chairman and CEO of Advanced Medical Optics

Washington D.C. – The Securities and Exchange Commission (SEC) today announced that it has agreed to resolve its insider trading claims against James V. Mazzo, the former Chairman and Chief Executive Officer of Advanced Medical Optics, Inc. (AMO) for allegedly tipping information about his company’s acquisition to his close personal friend, former professional baseball player Douglas … Continue reading SEC News: SEC Settles Insider Trading Claims Against Former Chairman and CEO of Advanced Medical Optics

SEC News: SEC Charges Husband, James E. Hengen, with Insider Trading Ahead of Announcements by Wife’s Employer

Securities and Exchange Commission v. James E. Hengen, No. 18-cv-03135 (D. Minn. filed Nov. 8, 2018) WASHINGTON – The Securities and Exchange Commission today charged James E. Hengen with insider trading based on material, nonpublic information that he misappropriated from his wife, a human resources executive at a healthcare company who worked on corporate acquisitions. … Continue reading SEC News: SEC Charges Husband, James E. Hengen, with Insider Trading Ahead of Announcements by Wife’s Employer

SEC News: SEC Charges Network Marketer, Eric J. Dalius, with Masterminding a Multimillion Dollar Ponzi and Pyramid Scheme

Securities and Exchange Commission v. Eric J. “EJ” Dalius et al., No. 2:18-cv-08497 (C.D. Ca. filed Oct. 3, 2018) WASHINGTON – The Securities and Exchange Commission has charged an individual and seven corporate entities that he controlled with defrauding investors through the promotion and operation of a multimillion dollar Ponzi and pyramid scheme. The SEC … Continue reading SEC News: SEC Charges Network Marketer, Eric J. Dalius, with Masterminding a Multimillion Dollar Ponzi and Pyramid Scheme