- Chief Compliance Officer and VP of Legal Affairs, Arrow Electronics
By Aaron Nicodemus2024-04-16T19:09:00
The enforcement head at the Securities and Exchange Commission (SEC) laid out general principles for “proactive compliance” to avoid making false or misleading claims about the capabilities of artificial intelligence (AI) products and services.
In a speech delivered Monday at a compliance conference, Gurbir Grewal, director of the SEC’s Division of Enforcement, predicted a “storm of risk” is brewing around AI use, fueled by intense interest among investors and the market. This interest, he said, could lead to elevated investor risk as firms race to roll out new AI-driven products and services to improve financial decision-making, make better bets on the market, enhance productivity and growth, and attract and retain investors.
The pressure is encouraging some firms to overstate the capabilities of their AI products and services, he said.
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2024-10-11T13:44:00Z By Jeff Dale
The Securities and Exchange Commission ordered the owner of Rimar Capital and a board member of its holding company to pay nearly $524,000 in penalties for defrauding investors with false and misleading statements about its use of artificial intelligence.
2024-10-03T13:00:00Z By Aaron Nicodemus
Gurbir Grewal, director of the Securities and Exchange Commission’s Division of Enforcement, will step down from his post Oct. 11. Grewal, who had served as the division’s director since 2021, will be replaced by Sanjay Wadhwa, currently the division’s deputy director, the SEC said.
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The former chief executive officer of closed AI recruitment startup Joonko faces up to 40 years in prison and the potential of penalties levied by the Securities and Exchange Commission for allegedly defrauding investors of more than $27 million.
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The U.S. Consumer Financial Protection Bureau continues to unravel amid pressure from Trump administration officials to shutter the agency. Not only has the agency informed its employees that it will no longer be a watchdog for the financial services industry, it has also laid off employees despite court orders blocking ...
2025-04-15T07:30:00Z By Aaron Nicodemus
The Consumer Financial Protection Bureau dropped yet another consumer protection lawsuit against a bank or fintech provider since Donald Trump was sworn in as president in January. This time, it was with Comerica Bank.
2025-04-11T08:00:00Z By Adrianne Appel
Block Inc., maker of the popular Cash App, has been hit with a $40 million fine by New York for its alleged failure to report suspicious activity. The move marks the latest in a string of recent state and federal enforcement actions against the company.
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