- Chief Compliance Officer and VP of Legal Affairs, Arrow Electronics
By 
Aly McDevitt2023-09-29T18:30:00
New York-based investment adviser D. E. Shaw & Co. will pay a $10 million penalty to settle charges brought by the Securities and Exchange Commission (SEC) that the company raised impediments to whistleblowing by employees.
From at least 2011 through 2019, the firm required new employees to sign agreements prohibiting the disclosure of confidential corporate information to third parties unless authorized, without an exception for potential SEC whistleblowers, the agency said in a press release Friday.
Further, from at least 2011 through 2023, the firm required departing employees to sign releases affirming they had not filed any complaints with any government agency in order for them to receive deferred compensation and/or other benefits.
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A subsidiary of JPMorgan Chase will pay an $18 million fine to the Securities and Exchange Commission for allegedly violating the agency’s whistleblower protection rule in hundreds of settlement agreements with clients and customers.
Recent enforcement cases brought by the Securities and Exchange Commission regarding apparent violations of its whistleblower protection rule are proof the agency is taking compliance with the rule “very seriously,” said Enforcement Director Gurbir Grewal.
The Securities and Exchange Commission criticized the structure of the compliance program in place at Texas-based investment adviser Advisor Resource Council as part of a lawsuit against the firm and one of its former representatives.
Three former executives of Chicago-based Outcome Health, a healthcare technology company, were sentenced for misleading an auditor, clients, lenders, and investors about a scheme to sell $45 million in overbilled advertisements.
A home health company operating in Indiana, Ohio, and Texas agreed to pay nearly $4.5 million to settle allegations it filed false claims by giving sports tickets and other kickbacks to assisted living facilities in exchange for referrals.
Crypto-friendly Silvergate Bank will pay a total of $63 million penalties to California and the Federal Reserve Board to settle charges that its anti-money laundering program failed to properly monitor more than $1 trillion worth of customer transactions.
