Compliance Bits and Pieces for July 13

These are some recent compliance-related stories that caught my eye.

How To Define Your Terms In 300 Pages by Theo Francis in NPR’s Planet Money

In Tuesday’s show, economist Luigi Zingales warned that massive, overly complicated laws and regulations go a long way toward undermining public trust in the government. They leave only lobbyists and lawyers reading the rules, in the pursuit of loopholes.

By coincidence, on Tuesday a key federal financial regulator said it had approved a collection of definitions and conditions for regulating a big chunk of the derivatives market.

It was several hundred pages long.

Lying Liars Who Believe Those Lies by Dan Ariely

What do Williams Gehris, America’s most decorated war hero, and Walter Williams, the last Civil War veteran to pass away, have in common? Both were frauds. They spun tales of military heroism, duped the public, and then – whoops – someone discovered that they hadn’t actually achieved the purported feats.

The chilling effect of accredited investor verification by William Carleton

Here’s the problem with opposing heightened verification altogether: the JOBS Act clearly contemplates that issuers must do something more to ensure that all the investors in a deal are accredited, when the deal has been broadcast publicly. So the SEC is going to have to reflect this legislative imperative in its rules. I’ve accepted that reality, and put all my eggs in the basket of hoping that it will remain possible to conduct Rule 506 offerings as before – without general solicitation and without advertising.

5 Business Ethics Must-Reads by Chris MacDonald

  1. Adam Smith The Wealth of Nations
  2. Edward Freeman Stakeholder Capitalism
  3. Joseph Heath Business Ethics Without Stakeholders
  4. John Boatright What’s Wrong—and What’s Right—with Stakeholder Management
  5. Joseph Heath Business Ethics and Moral Motivation

Why Should the Boss Listen to You: Compliance Professional as Trusted Advisor by Tom Fox