{"id":4783,"date":"2017-09-20T16:25:08","date_gmt":"2017-09-20T21:25:08","guid":{"rendered":"https:\/\/www.investorlawyers.com\/blog\/?p=4581"},"modified":"2022-04-01T12:41:58","modified_gmt":"2022-04-01T17:41:58","slug":"securities-fraud-cases-state-street-pay-35m-alleged-secret-markup-charges-material-omissions-braskem-pay-investors-10m-settle-lawsuit-petrobas-scandal-three-ex-r","status":"publish","type":"post","link":"https:\/\/www.investorlawyers.com\/blog\/securities-fraud-cases-state-street-pay-35m-alleged-secret-markup-charges-material-omissions-braskem-pay-investors-10m-settle-lawsuit-petrobas-scandal-three-ex-r\/","title":{"rendered":"Securities Fraud Cases: State Street to Pay Over $35M Over Alleged Secret Markup Charges and Material Omissions, Braskem to pay Investors $10M To Settle Lawsuit in Petrobas Scandal, &#038; Three Ex-Registered Reps Resolve Market Rigging Case over Attempted Nasdaq Listing"},"content":{"rendered":"<p>\t\t\t\t<strong>State Street Resolves SEC Fraud Charges for $35M <\/strong><br \/>\nTo settle charges brought by the US Securities and Exchange Commission, State Street (STT) will pay over $35M to resolve charges accusing the financial firm of overcharging transition management customers in secret, purportedly making $20M in improper revenue in the process, and leaving out material information related to GovEx, the trading platform it uses for US Treasury securities. The charges against State Street were brought in two separate orders. <\/p>\n<p>In the first SEC order, the firm is accused of using false trading statements, post-trade reports, and pre-trade estimates so it could misrepresent the compensation it received on different transactions. After one customer noticed certain concealed markups, State Street\u2019s employees claimed that these were \u201cinadvertent commissions.\u201d <\/p>\n<p>In the second order, the SEC said that the firm did not notify GovEx subscribers that although the trading platform had been touted as \u201cfair and transparent,\u201d one subscriber was given a \u201cLast Look\u201d option that briefly allowed for the opportunity to turn down matches to quotes that were submitted. The Last Look trading functionality was used by that subscriber to turn down 57 matches, each face valued at $1M. Counterparties were not notified by State Street that Last Look had rejected their orders. <\/p>\n<p> <a href=\"https:\/\/www.investorlawyers.com\/blog\/securities-fraud-cases-state-street-pay-35m-alleged-secret-markup-charges-material-omissions-braskem-pay-investors-10m-settle-lawsuit-petrobas-scandal-three-ex-r\/#more-4783\" class=\"more-link\">Continue Reading \u203a<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"<p>State Street Resolves SEC Fraud Charges for $35M To settle charges brought by the US Securities and Exchange Commission, State Street (STT) will pay over $35M to resolve charges accusing the financial firm of overcharging transition management customers in secret, purportedly making $20M in improper revenue in the process, and leaving out material information related [&hellip;]<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"closed","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"categories":[3760,3741],"tags":[2892,2721],"class_list":["post-4783","post","type-post","status-publish","format-standard","hentry","category-sec-enforcement","category-securities-fraud","tag-braskem","tag-state-street"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.4 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Securities Fraud Cases: State Street to Pay Over $35M Over Alleged Secret Markup Charges and Material Omissions, Braskem to pay Investors $10M To Settle Lawsuit in Petrobas Scandal, &amp; Three Ex-Registered Reps Resolve Market Rigging Case over Attempted Nasdaq Listing &#8212; Investor Lawyers Blog &#8212; September 20, 2017<\/title>\n<meta name=\"description\" content=\"State Street Resolves SEC Fraud Charges for $35M To settle charges brought by the US Securities and Exchange Commission, State Street (STT) will pay over &#8212; September 20, 2017\" \/>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/www.investorlawyers.com\/blog\/securities-fraud-cases-state-street-pay-35m-alleged-secret-markup-charges-material-omissions-braskem-pay-investors-10m-settle-lawsuit-petrobas-scandal-three-ex-r\/\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:title\" content=\"Securities Fraud Cases: State Street to Pay Over $35M Over Alleged Secret Markup Charges and Material Omissions, Braskem to pay Investors $10M To Settle Lawsuit in Petrobas Scandal, &amp; 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