Clifford Jagodzinski has filed a lawsuit against Morgan Stanley & Co. (MS), Morgan Stanley Smith Barney, and Citigroup (C). He claims that he was fired from his job at Morgan Stanley as a complex risk officer because he reported that an investment adviser was churning accounts and earning tens of…
The U.S. District Court for the Eastern District of Virginia said that Citigroup (C) and UBS (UBS)cannot preliminarily enjoin Financial Industry Regulatory Authority arbitration over an auction-rate securities offering that did not succeed. The case is UBS Financial Services Inc. v. Carilion Clinic. Carilion is a nonprofit health care and…
Five years after the US Securities and Exchange Commission issued an emergency action to stop the Amerifirst securities fraud, all of the defendants accused of defrauding more than 500 investors-many of them senior citizens-of over $50 million in Texas and Florida have now been sentenced for their crimes. The last…
According to the US Court of Appeals for the 9th Circuit, a lower court was in error when it dismissed on the grounds of timeliness investors’ putative securities fraud class action lawsuit accusing the American Funds mutual fund family of charging marketing and management fees that were too high and…
The US Securities and Exchange Commission is calling for broad reforms to the $3.7 trillion municipal bond market. Today, it published a 165-page report that included its recommendations. One of its main concerns is that individual investors have the lower hand when they sell and buy purchase bonds that are…
The U.S. District Court for the Southern District of New York says that the Securities and Exchange Commission is not a doing a good enough job in providing oversight of $55 million in investor education funds and the way that the money is being disbursed. The funds come from the…
According to ex-Securities and Exchange Commission chairman Harvey Pitt, another financial crisis could happen before the end of the year and still the government isn’t more ready to deal with it than the last one. He shared his views at a US Chamber of Commerce-organized panel on July 25. Pitt…
The Stronger Enforcement of Civil Penalties Act of 2012, is bipartisan legislation that seeks to enhance the Commission’s power to clamp down on violations of securities law while raising the statutory ceilings on civil monetary penalties by tying a penalty’s size to the degree of harm wrought and amount of…
In SEC v. Moshayedi, the Securities and Commission is suing the Chairman and CEO of computer device storage company STEC Inc. (STEC) for insider trading. Manouchehr Moshayedi allegedly traded in his company stock’s secondary offering because he had insider knowledge that there was a decline in the demand for an…
According to the Government Accountability Office, because the Securities and Exchange Commission has not yet adopted a final conflict minerals disclosure rule, the process of developing initiatives to assist the companies that would be affected by this has been delayed. The GAO said that, as a result, there is now…