What better way to celebrate the independence of the United States than by taking the day off from work, grilling meat, and watching stuff blow up. I’m doing the same thing on the blog and taking a vacation. “The Second Day of July 1776, will be the most memorable Epocha, in the History of America. … Read more »
Wait a Bit Longer for Removing the Ban on General Solicitation and Advertising
On June 28 Securities and Exchange Commission Chairman Mary L. Schapiro testified that the SEC will not make the deadline for lifting the ban on general solicitation and advertising and the reasonable process for verification of accredited investors. Title II of the JOBS ACT gave the SEC 90 days to craft the regulation. “As I … Read more »
Compliance Bits and Pieces – Viva Le Tour
Saturday is the start of Tour de France as most of the world’s best cyclist queue at the starting line in Liège, Belgium. This week’s gathering of compliance stories starts with my story in Wired.com. A Geek’s Guide to the Tour de France The 99th edition of the Tour de France starts Saturday in Liège, kicking … Read more »
Goodbye SAS 70; Hello SSAE 16
Apparently I missed this big change. Statement on Auditing Standards No. 70 (SAS 70) was a widely used reporting tool for service organizations all throughout the globe. However, the migration towards more globally accepted accounting principles has put SAS 70 in the rearview mirror. Statement on Standards for Attestation Engagements (SSAE) No. 16, Reporting on … Read more »
Another Real Estate Ponzi Scheme
The Securities and Exchange Commission is claiming that Wayne L. Palmer and his firm, National Note of Utah, were operating a real estate-based Ponzi scheme that bilked $100 million from investors. U.S. District Judge Bruce Jenkins issued a temporary restraining order, froze the assets of National Note, and appointed attorney Wayne Klein as a receiver … Read more »
Compliance Bits and Pieces for June 22
SEC Charges Florida Broker in Astrology-Based Ponzi Scheme “Persaud preyed on people who trusted him by promising high and steady returns while hiding his unconventional trading strategy,” said Eric I. Bustillo, Director of the SEC’s Miami Regional Office. “When Persaud blatantly lied to investors and hid their losses through a Ponzi scheme, he should have … Read more »
California Redefines “Private Fund”
I’ve spent a great deal of brain power on the definition of “private fund” under the Investment Advisers Act. California has added its own twist on the definition. It’s a twist that is very important to real estate fund managers. Working through the definition of “private fund” requires wading through the Investment Company Act. Congress … Read more »
Tipping and Insider trading
I didn’t follow the trial of former Goldman Sachs Group Inc. director Rajat Gupta. It seemed like a fairly straight-forward case under the current jurisprudence for insider trading. He possessed material, non-public information. He had that information because he sat on the board of directors of Goldman Sachs. Because he was a board member he … Read more »
Anti-Money Laundering Program and Procedures
The Foreign Corrupt Practices Act has taken center stage in the headlines for international finance problems. But last week the regulators let us know that the PATRIOT Act has not gone away. ING Bank agreed to forfeit $619 million after admitting that it covered up billions of dollars in transfers that violated U.S. sanctions on Iran … Read more »
Compliance Bits and Pieces for June 15
Setting the Career Path for Compliance Officers by Matt Kelly in Compliance Week‘s Big Picture blog I asked these half-dozen conference attendees to sit down with me over breakfast and explain why workforce development is such a challenge for this field. The problem has its roots in two fundamental tensions, they told me. First is … Read more »