On Apr. 2, 2019, NSE clarified that trading restriction period is required to commence not later than end of every quarter till 48 hours after the declaration of financial results. Trading window shall be closed when compliance officer determines that a designated person can reasonably be thought to have unpublished price sensitive information.
Read more
SEC Silicon Valley Startup Fraud
On Apr. 2, SEC fined Silicon Valley start-up CEO $17mn for fraud. Daniel Mattes CEO of Jumio, private mobile payments company charged re fraud. Charges Overstated 2014-14 revenue and sold his shares in the private, secondary market. Complaint alleges he made $14mn selling shares and hiding sales from the board. Falsely told an investor that…
Read more
CFTC $1mn Fine for Futures Scam
On Mar. 28, CFTC fined trader $1mn for commodity futures fraud. William Powderly fraudulently solicited customers and distributed false statements. Charges Defendant claimed that he and a university professor developed a trading program. Said it generated hypothetical trading results, of gains without a single day of loss. Powderly took $1.2mn from 7 customer, sustained $1mn…
Read more
CFTC Choi Forex Ponzi CTA Fraud
On Mar. 18, 2019, CFTC entered order of final judgment against Choi, Apuro, JCI. Pay $1.12mn restitution to defrauded customers, $1.12mn civil monetary penalty. Had also imposed permanent trading and registration bans against the defendants. CFTC issued several customer protection fraud advisories on fraud warning signs, including Forex fraud advisory, a sharp rise in Forex…
Read more
NYSE Post Trade Review
On Mar. 11, NYSE memo on post-trade review for possible fraud. Under CEA Rule 15c3-5 on market access, members must review trades for potentially manipulative, disruptive, and/or other improper conduct on them. Follows guidance by exchange, new guide is read in conjunction. Risk Management Guide On post-trade reviews, use third-party risk management technology, software. Also…
Read more
UK FCA Fined UBS AG £27.6mn
On Mar. 19, UK FCA fined UBS for transaction reporting failures. FCA fined UBS AG £27.6mn for transaction reporting failure Nov. 2007-May 2017. Allegations Failed to give complete, accurate information, re 86mn reportable transactions. In error, reported 49mn transactions to FCA, which were not, in fact, reportable. Over 9 1/2 years, made 135.8mn errors in…
Read more