On Apr. 13, ASIC fined Commonwealth Bank A$3mn re service fees. Enforceable undertaking applied to Commonwealth Financial Planning (CFPL) and BW Financial Advice (BWFA), wholly owned subsidiaries of Commonwealth Bank. CFPL and BWFA failed to provide, or find evidence for provision, annual reviews. This affected approximately 31,500 customers; CFPL in 2007-15; BWFA 2010-15. CFPL management…
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SEC Charges Pastor with Fraud
On Mar. 30 SEC charged Texas pastor with defrauding of investors. Kirbyjon Caldwell, was senior pastor for one of the largest US Protestant churches. With Gregory Smith, as self-described financial planners targeted elderly investors. Alleged Violations Defendants sold investors, interests in defunct, pre-Revolutionary Chinese bonds. Claimed bonds—memorabilia with no investment value- worth millions of dollars.…
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OFAC Iran Cyber US Colleges
On Mar. 23, Treasury OFAC designated Iran cyber actors of colleges. Sanctioned Iranian cyber actors for activities targeting hundreds of universities. Mabna Institute Engaged in theft of personal identifiers and resources for private financial gain. Contracted with Iran government and private entities, to do hacking activities. Conducted coordinated intrusions, into systems belonging to 144 US…
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HK SFC UBS Asia $4.5mn Fine
On Mar. 21, HK SFC fined UBS for facilitation of trading activities. Fined UBS securities Asia Limited $4.5mn for failing to maintain effective controls. Alleged Violations Deficiencies involve record keeping of designation of trades as being 'facilitation'. UBS failed to provide complete information of client consent for facilitation trades. In 2015-16, UBS only able to…
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SEC Pay $83mn Whistleblower – Largest Ever
On Mar. 19, SEC announced largest whistleblower award of $83mn. Highest-ever Dodd-Frank awards, with two whistleblowers sharing nearly $50mn and a third whistleblower receiving over $33mn, The previous high was $30mn paid in 2014, Provided significant information, enabled SEC to pursue, remedy serious violation, Hope to encourage others with specific, high-quality information to report to SEC. Law Firm Statement…
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FINRA Fine Puma AML on Stocks
On Mar. 15, FINRA fined Puma Capital $70k for AML penny stock. Puma Capital fined and required to certify compliance with Bank Secrecy Act. FINRA Rule 3310, S. 5 of Securities Act. distribution of unregistered securities. Alleged Violations Lacked an efficient AML program designed to achieve and monitor compliance. Did not report potentially suspicious activity…
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