The U.S. Supreme Court safeguarded investor-protection laws on Wednesday by refusing to further narrow the scope of who can be held liable for securities fraud, upholding a lower court ruling against a New York investment banker banned from the industry by the Securities and Exchange Commission. The justices, in a 6-2 ruling, affirmed the lower… Continue reading U.S. Supreme Court Safeguards Investor-Protection Laws
Tag: SEC
SEC Sues Volkswagen, Alleging It Misled Investors
The U.S. Securities and Exchange Commission is suing Volkswagen and its former chief executive, alleging they defrauded investors during the German auto giant’s notorious diesel emissions scandal. From April 2014 to May 2015, Volkswagen raised more than $13 billion from U.S. investors in the bonds and securities markets as senior executives lied and used software… Continue reading SEC Sues Volkswagen, Alleging It Misled Investors
Many Company Hacks Go Undisclosed to SEC Despite Regulator Efforts
Few companies are telling securities regulators about cyberattacks, a new analysis finds, despite recent efforts to bolster disclosures of such incidents to investors. About 90% of known cyber incidents at public companies went undisclosed in regulatory filings in 2018, according to an analysis by the office of Securities and Exchange Commission member Robert Jackson, a… Continue reading Many Company Hacks Go Undisclosed to SEC Despite Regulator Efforts
SEC Dusts Off a Never-Used Cyber Enforcement Tool
Five years ago, the Securities and Exchange Commission adopted a rule requiring investment firms to pay attention to identity theft. It never enforced it — until late last month. In a cease-and-desist order against Voya Financial Advisors, the investment advisory unit of Voya Financial, the commission used the “Identity Theft Red Flags Rule” to censure… Continue reading SEC Dusts Off a Never-Used Cyber Enforcement Tool
Elon Musk Steps Down as Tesla’s Chairman in Settlement with SEC Over Go-Private Tweet
Elon Musk, under pressure from his lawyers and investors of Tesla, the company he co-founded, reached a deal with the Securities and Exchange Commission on Saturday to resolve securities fraud charges. The settlement will force Mr. Musk to step aside as chairman for three years and pay a $20 million fine. The S.E.C. announced the… Continue reading Elon Musk Steps Down as Tesla’s Chairman in Settlement with SEC Over Go-Private Tweet
SEC Sues Elon Musk For Fraud, Seeks Removal from Tesla
U.S. securities regulators on Thursday sought to force Tesla Inc. Chief Executive Elon Musk out of the company he helped get off the ground about 15 years ago, alleging he misled shareholders when he tweeted he had funding for what would have been the largest-ever corporate buyout. The suit, filed by the Securities and Exchange… Continue reading SEC Sues Elon Musk For Fraud, Seeks Removal from Tesla
SEC Provides New Far-Ranging Cybersecurity Guidance
The Securities and Exchange Commission (“SEC”) released expansive interpretive guidance (“2018 Guidance”), posted February 21, 2018, further building upon its far-reaching cybersecurity guidance provided in 2011. Below are four key takeaways that will be essential in complying with federal securities laws going forward. 1. The SEC recognizes that effective cybersecurity has never been more… Continue reading SEC Provides New Far-Ranging Cybersecurity Guidance
SEC Weighs Blocking Investor Lawsuits
In its determination to reverse a two-decade slump in U.S. stock listings, a regulator might offer companies an extreme incentive to go public: the ability to bar aggrieved shareholders from suing. The Securities and Exchange Commission in its long history has never allowed companies to sell shares in initial public offerings while also letting them… Continue reading SEC Weighs Blocking Investor Lawsuits