Crypto has faced some tough times lately, though the kids who are among its most fervent boosters keep insisting that the value of their shiny coins will rebound in 2023. Like, for sure. Faster than you can say Winklevoss! Good times for us and the brothers must be right around the corner, right? Well, it… Read More >>
Calypso & AI Vendor Target Back Office Ops
Calypso Partners With 2021.AI Financial software vendor Calypso Technology is partnering with an artificial intelligence IT platform provider, 2021.AI, to optimize back-office processes for Calypso’s global client base, officials say. The two vendors will focus on delivering state-of-the-art AI models and Calypso will facilitate access to 2021.AI’s Grace AI platform, officials say. “By partnering with… Read More >>
Wedbush Securities Settles ADR Case with SEC
Broker-dealer Wedbush Securities Inc. has settled with the SEC for $8.1 million over charges that the firm improperly handled pre-released American Depositary Receipts (ADRs) from November 2011 through September 2013. Without admitting or denying the SEC’s findings, the firm has agreed to the SEC’s order, which alleges that Wedbush “improperly obtained pre-released ADRs from depositary banks… Read More >>
SEC Alleges Firm Had a Crypto-Pyramid Scheme
The SEC has filed a civil injunctive action against the alleged perpetrator of a multimillion-dollar pyramid scheme. The SEC claims that, from January 2017 through March 2018, San Clemente, Calif., resident Daniel Pacheco enticed would-be cryptocurrency investors by selling so-called instructional packages that provided e-commerce “lessons,” raising more than $26 million in the process. In… Read More >>
Cantor Fitzgerald Fined $2M for Alleged SHO Violations
The Financial Industry Regulatory Authority (FINRA) reports that it has fined Cantor Fitzgerald & Co. $2 million for regulation SHO violations and supervisory failures spanning a period of at least five years. The SEC adopted regulation SHO to “address concerns regarding persistent failures to deliver and potentially abusive ‘naked’ short selling, e.g., the sale of… Read More >>
Credit Suisse Settles RES Charges with SEC & NYAG
The SEC reports that Credit Suisse Securities (USA) LLC will pay $10 million to settle charges, brought collaboratively by the SEC and the Office of the New York Attorney General (NYAG), alleging “material misrepresentations and omissions made in connection with its now-closed Retail Execution Services (RES) business’ handling of certain customer orders.” “Credit Suisse’s RES… Read More >>
Moody’s Settles Charges of Inadequate Internal Controls
Moody’s Investors Service Inc. will be paying $16.25 million in penalties to the SEC via two regulatory orders that resolve charges that the credit rating agency had inadequate internal controls that ultimately led to 650 incorrect residential mortgage-backed securities (RMBS) ratings, representing a notional value of more than $49 billion. The Moody’s case “marks the… Read More >>
FINRA Charges Interactive Brokers with Regulation SHO Violations
Electronic execution brokerage firm Interactive Brokers has been fined $5.5 million by FINRA, a self-regulatory organization (SRO), for allegedly violating the rules for short sale practices — covered by the SEC’s Regulation SHO —and for supervisory failures from July 2012 through June 2015. “Regulation SHO established ‘locate’ and ‘close-out’ standards that are primarily aimed at… Read More >>
ISITC Jolts Ops Standards, Embraces the Cutting-Edge
(FTF News got a rare chance to check in with Erica Borghi, the current chair of the International Securities Association for Institutional Trade Communication (ISITC), and Lisa Iagatta, current vice chair for ISITC, an industry group that advances standards, technology and best practices for financial services operations. In a wide-ranging Q&A, they provide updates on… Read More >>
Firm Allegedly Funded Luxuries Instead of Bridge Project
The owner of two New York-based investment funds has been arrested and charged in Manhattan federal court with conspiring to commit — and the commission of — securities and wire fraud in connection with a $21 million investment fraud scheme. The arrest of Brent Borland, 48, of Sag Harbor, N.Y., was announced in Manhattan by… Read More >>
