On Nov. 12, 2018, EU ESMA issued its updated FAQs on the implementation of MAR. Included new question 7.10, under managers transactions, and specifically the non-applicability of the ban to transactions of the issuer on its own financial instruments. Whether the prohibition in MAR, art. 19(11) encompass transactions relating to own instruments even if PDMRs…
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EU Criminalize Money Laundering
On Nov. 12, 2018, EU issued its final directive on criminalizing money laundering. And regulation on controls on cash entering/leaving EU, repealing reg 1889/2005. Regulation and directive in force on 20th day following issue in OJ, Dec. 2, 2018. Regulation will apply from Jun. 3, 2021, but article 16 applies from Dec. 2, 2018. Art.…
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OFAC Ukraine, Crimea Sanction
On Nov. 8, Treasury OFAC named Ukraine occupation supporters. Sanctioned three individuals and nine entities, under Ukraine-related authorities. Follows designation relate to territories forcibly occupied or controlled by Russia. Ukraine, including Crimea and areas of Donetsk and Luhansk in eastern Ukraine. Individuals Andriy Volodymyrovych Sushko role in directing of serious human rights abuses. Abducted a Crimean…
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SEC $12mn Mislead Dark Pool
On Nov. 7, SEC fined ITG $12mn for misleading about dark pool. Charged ITG Inc. and its affiliate AlterNet for misleading dark pool subscribers. Did not protect trading information and sometimes used in an attempt to grow. Alleged Violations Firm made misstatements and omissions, about operation of their pool, POSIT. ITG improperly disclosed confidential dark pool…
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CSA BC $47mn Insurance Fraud
On Nov. 6, CSA BC alleged $47mn fraud by insurance officers. Insurance group leaders committed fraud in selling unsecured loan agreements. Aik Guan Lim and Scott Low are directors and owners of FS Financial Strategies and related companies in FS insurance group, dishonestly raised over $47mn. Alleged Violations Induced hundreds into buying the loans without disclosing…
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SEC Enforcement 2018 Report
On Nov. 2, SEC issued enforcement report on FY 2018 activities. Follows SEC Nov 2017 enforcement report on priorities and results. 2018 Core Principles Principles are to protect Main Street investor, individual accountability for action. Bar bad actors from securities markets, and send strong message of deterrence. Keeping pace with technological change, remedies to further…
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