Compliance Bricks and Mortar for December 20

Bricks Boston

These are some of the compliance-related stories that recently caught my attention.

SEC Enforcement Statistics: A Work in Progress? by Thomas O. Gorman in SEC Actions

The SEC released Enforcement Division statistics for government Fiscal Year 2013 along with a table and chart listing the number of actions filed each year as well as the amount of disgorgement and penalties ordered. The SEC Press Release states also states that in the last fiscal year the program obtained a record $3.4 billion in “monetary sanctions against wrong doers.” That amount is 22% higher than fiscal 2011 when the agency brought a record number of enforcement actions.

How These 5 Dirtbags Radically Advanced Your Digital Rights by David Kravets in’s Threat Level

Bad facts make bad law, as the legal saw goes. But it cuts both ways: Sometimes bad people make good law. Consider the following exhibits: a cocaine dealer, a child pornographer, a purveyor of suspect penis-enlargement pills, and two accused hackers. The courtroom challenges they brought resulted in rulings that dramatically expanded your rights, from helping to keep your email and whereabouts private to reducing gadget searches at the U.S. border and limiting the legal definition of unlawful hacking.

Jan. 8 Webcast: SEC Enforcement – Key Developments in 2013 in Securities Docket

In this webcast analyzing key developments in SEC enforcement, our panel will discuss notable events from 2013 and emerging issues for 2014.

Hedge Fund Advisers’ Systemic Risk Disclosures in Bankruptcy by Wulf Kaal in The CLS Blue Sky Blog

The significant increase of hedge fund participation in the bankruptcy process, among other factors, resulted in an increased emphasis in the literature on the role of hedge funds in bankruptcy. Scholars, practitioners, and members of the federal bankruptcy bench voiced concern over hedge funds’ hidden agendas and offsetting positions, hedge funds’ attempts to manipulate the negotiation and reorganization process, and their seeking control of the debtor at the expense of other stakeholders. Because of their perceived detrimental impact on the bankruptcy process, some commentators have labeled distressed hedge fund investors as “vultures.” Others emphasize the liquidity provided by hedge funds and the corresponding enhancement of the restructuring process.