Welcome to our June regulatory updates where you will find practical thought leadership distilling the latest regulatory headlines. For all firms this month, we highlight the SEC’s latest risk alerts on weak branch office procedures and on the LIBOR transition, the biggest whistleblower award ever, and new state regulations related to privacy and financial exploitation of seniors and other vulnerable investors. For advisers, we share key takeaways from recent Form PF amendments and for broker-dealers, we break down a recent case of Regulation Best Interest (“Reg BI”) failures. Finally, we share our “lessons learned” from recent enforcement activity and suggested resources for your additional research.
Better than the Lottery! SEC’s Largest Whistleblower Award. A whistleblower received the largest award in the history of the SEC’s program, raking in $279 million. This most recent award is more than double the eye-popping $114 million awarded in October 2020. SEC-registrants beware – these extraordinary awards provide massive incentives for future whistleblowers. Contributed by Jaqueline M. Hummel, Director of Thought Leadership, Regulatory Compliance.
Are You Ready to Transition from LIBOR to SOFR? The London Interbank Offering Rate (LIBOR), developed by the British Banker’s Association in the 1980s and used globally as a benchmark interest rate for financial contracts, is going away. The United Kingdom’s Financial Conduct Authority confirmed that...
(FOX 9) - A jury has found Emadeldin Ibrahim responsible for submitting thousands of fraudulent claims for meal reimbursements. Food program false claims What we know: According to a press release...