News & Analysis as of

Securities and Exchange Commission (SEC) Enforcement Actions Identity Theft

Goodwin

SEC EXAMS Division Issues Reg. S-ID Risk Alert

Goodwin on

The SEC Division of Examinations recently published a risk alert summarizing observations from exams of registered investment advisers and broker-dealers related to compliance with Reg. S-ID, which is generally designed to...more

WilmerHale

SEC Brings First Identity Theft Enforcement Actions Since 2018

WilmerHale on

On July 27, 2022, the SEC charged three broker dealers for violations of the Identity Theft Red Flags Rule (also known as “Regulation S-ID”), with penalties ranging from $425,000 to $1,200,000. The regulation requires that...more

Alston & Bird

SEC Settles Enforcement Actions with Broker-Dealers and Investment Advisors for Identity Protection Deficiencies

Alston & Bird on

On July 27, 2022, the Securities and Exchange Commission (SEC) separately settled three enforcement actions with broker-dealers and investment advisers for alleged deficiencies relating to the prevention of customer identity...more

Dickinson Wright

Cybersecurity Update: First SEC Enforcement Action Involving the Identity Theft Red Flags Rule Results in Settlement

Dickinson Wright on

On September 26, 2018, the Securities and Exchange Commission announced that a settlement was reached in its first enforcement action involving the Identity Theft Red Flags Rule (the “Red Flags Rule”). The Red Flags Rule was...more

K&L Gates LLP

The SEC Brings Its First Enforcement Action under the Identity Theft Red Flags Rule

K&L Gates LLP on

On September 26, 2018, the Securities and Exchange Commission (SEC) settled claims that Voya Financial Advisors, Inc. (VFA) failed to adequately protect customer information following a six-day cyberattack in 2016....more

Sheppard Mullin Richter & Hampton LLP

SEC Issues $1 Million Identity Theft Rule Fine

The Securities and Exchange Commission recently settled with Voya Financial Advisors, Inc. for alleged violation of Regulation S-ID (otherwise known as the Identity Theft Red Flags Rule) and Regulation S-P (otherwise known as...more

Foley Hoag LLP

SEC Brings First Enforcement Action for Identity Theft Red Flags Rule Violations

Foley Hoag LLP on

On September 26, in the Securities and Exchange Commission’s (“SEC”) first enforcement action for violations of Regulation S-ID (the “Identity Theft Red Flags Rule”), Voya Financial Advisors Inc. (“VFA”), an SEC-registered...more

Katten Muchin Rosenman LLP

SEC Charges Broker-Dealer/Adviser With Inadequate Cybersecurity Procedures

On September 26, the Securities and Exchange Commission (SEC) charged a dually registered broker-dealer and investment adviser (the "Registrant") with deficient cybersecurity procedures. This is the first SEC action alleging...more

Alston & Bird

SEC Brings First Enforcement Action for Violation of the Identity Theft Red Flags Rule

Alston & Bird on

On September 26, 2018, the SEC brought its first ever enforcement action for violations of Regulation S-ID (the “Identity Theft Red Flags Rule”), 17 C.F.R. § 248.201, in addition to violations of Regulation S-P, 17 C.F.R....more

Morgan Lewis

Proactive Approach To Cybersecurity: Recent SEC guidance and enforcement actions suggest that reactive firms may be in the SEC’s...

Morgan Lewis on

In an environment where even the largest and most powerful corporations have fallen victim to data breaches, it can be challenging to fathom how to protect against the sophisticated and ever-evolving threat of cyber attacks....more

Foley & Lardner LLP

SEC Brings First Cybersecurity Enforcement Proceeding in Wake of Risk Alert

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Highlights Areas of High Risk and Examination Priorities for Financial Industry Firms - On September 15, the U.S. Securities and Exchange Commission’s (SEC’s) Office of Compliance, Inspections and Examinations (OCIE),...more

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