A recent decision of the Alberta Securities Commission appears to give short-sellers wide latitude to negatively comment on targets, and sets a potentially high burden on ASC Staff when seeking interim orders to address...more
We recently wrote about short sellers being the scourge of public companies and the availability of a response from the SEC). The SEC has now made clear in an enforcement action against Elon Musk, the CEO of Tesla Inc., a...more
Executive Summary - The Morgan Lewis Year in Review highlights key US Securities and Exchange Commission (the SEC or the Commission) and Financial Industry Regulatory Authority (FINRA) enforcement developments and...more
Non-US Broker Fined by CFTC for Soliciting Futures Orders and Handling Funds for Two US Customers Without Registration or an Exemption: Otkritie Capital International, Ltd., a UK-based broker, agreed to settle charges with...more
The SEC filed one new action this week – an administrative proceeding involving the principal of an investment adviser and undisclosed conflicts of interest. The Commission also amended a complaint in an insider trading...more
CFTC Proposes Margin Rules for Uncleared Swaps and Approves Special Treatment for Operations-Related Swaps With Certain Government-Owned Natural Gas and Electric Utilities - A few weeks after the Federal Reserve Bank...more
In a holiday shortened week, dark pools were again a focus for regulators. This week FINRA sanctioned Goldman Sachs in connection with the operation of its dark pool....more
In the largest Rule 105 (Short Sale Rule) enforcement case to date, the SEC reached a $7.3 million settlement against Worldwide Capital and its principal last Wednesday, March 5. The SEC's message has been consistent since...more
Two university professors settled fraud charges brought in an SEC administrative proceeding centered on a naked short selling scheme. The scheme yielded profits of over $400,000. In the Matter of Gonul Colak, Adm. Proc. File...more
On September 17, 2013, the Securities and Exchange Commission (the “SEC”) announced enforcement actions against 23 firms for violations of Rule 105 of Regulation M. Rule 105 prohibits the purchase of securities in a follow-on...more
Recent SEC enforcement actions demonstrate the SEC’s increased focus on violations of Rule 105 of Regulation M. On September 17, 2013, the Securities and Exchange Commission (the SEC) announced enforcement actions...more
On September 17, 2013, the Securities and Exchange Commission (SEC) announced enforcement actions against 23 investment firms for violations of Rule 105 of SEC Regulation M. Rule 105 generally prohibits short selling...more