The Galleon insider trading trial continues this week in
New York. In another New York court room the Commission struggled to have a
partial settlement approved by the court. While the agency secured the
necessary approval it was not without a cost: The court reserved the right to
In the week ending with "April Fools Day," the Commission
continued to issue proposed regulations to implement the Dodd-Frank Wall Street
and Consumer Protection Act. SEC Enforcement focused on investment fund fraud
actions, filing or resolving seven cases. The Commission also brought a...
Prosecutors concluded their case-in-chief in the Galleon
insider trading trial this week. SEC enforcement, in conjunction with the U.S.
Attorney's Office in New Jersey, brought an insider trading case against an
attorney, a former associate of three prominent law firms, and a professional
The market crisis, the FCPA and insider trading were
again the key focus this week. On Capitol Hill the Senate Permanent Committee
on Investigations issued a lengthy, detailed report regarding the causes of the
market crisis. This report builds on earlier efforts but contains substantial
The war on insider trading by the Manhattan U.S. Attorney
was propelled forward this week with the conviction of Galleon hedge fund
founder Raj Rajaratnam on all fourteen counts. At the same time another
defendant in the expert network investigation pleaded guilty. DOJ also
prevailed in an FCPA jury...
The New York Stock Exchange settled a proceeding this week which alleged that it provided trading information to select proprietary clients prior to releasing it to the public over the last four year. The Commission also filed insider trading actions centered on a corporate director and a registered...
The President's new market crisis task force brought its first action this week. It named as a defendant Bear Stearns which has been acquired by JP Morgan. The New York AG, co-chair of the task force announced in the state of the union address earlier this year, brought the action. It differs substantially...
Significant events this week included the proposal by the SEC of additional swaps rules regarding security-based swap dealers and major participants. Enforcement settled a "suspicious trading" insider trading action with a Hong Kong based entity while initiating a case against an investment...