- Chief Compliance Officer and VP of Legal Affairs, Arrow Electronics
By 
Kyle Brasseur2023-12-14T14:19:00
Three entities of Swiss bank Credit Suisse agreed to pay more than $10 million combined as part of a settlement with the Securities and Exchange Commission (SEC) for allegedly providing prohibited underwriting and advising services to mutual funds.
Credit Suisse Securities was assessed a civil penalty of $1 million, while two of its asset management affiliates were separately fined $2 million and $300,000. The asset managers also agreed to pay nearly $6.8 million in disgorgement and prejudgment interest, the SEC announced in a press release Wednesday.
In October 2022, a New Jersey court ruled on a 2013 case alleging Credit Suisse Securities violated the antifraud provisions of state laws in connection with its role as underwriter to residential mortgage-backed securities. The court prohibited Credit Suisse Securities and its affiliates from serving as principal underwriter or investment adviser to mutual funds and employees’ securities.
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Historically, the SEC has fiercely protected the rights of retail investors, and is constantly churning out enforcement actions against investment advisers it alleges have defrauded and manipulated its customers. So, it was somewhat unusual the agency issued an enforcement action this week that involved protecting the rights of institutional investors.
Aon Investments USA and its former partner agreed to pay nearly $1.6 million in combined penalties to settle charges by the Securities and Exchange Commission that they misled a Pennsylvania school pension fund.
A Singapore financial regulator will reportedly conduct an on-site inspection of a local Credit Suisse unit in connection with a 2.8 billion Singapore dollar (U.S. $2 billion) money laundering scandal.
A bank examiner and senior manager at the Federal Reserve Bank of Richmond pled guilty to insider trading after allegedly misappropriating confidential information on seven banks to make profitable trades.
New York-based investment firm Drexel Hamilton will pay more than $1.1 million in penalties, with four current and former employees paying fines as well over committing hundreds of violations of rules regarding the sale of municipal bonds.
A publicly traded cryptocurrency mining company will pay $10 million and completely change its business model to one with “lower corruption risk” as part of a settlement over violations of the Foreign Corrupt Practices Act (FCPA), two regulators announced.
