Daily Archives: May 5, 2023, 1:26 pm

SEC Issues Largest-Ever Whistleblower Award

The Securities and Exchange Commission today announced the largest-ever award, nearly $279 million, to a whistleblower whose information and assistance led to the successful enforcement of SEC and related actions. This is the highest award in the SEC’s whistleblower program’s history, more than doubling the $114 million whistleblower award the SEC issued in October 2020. “The size of today’s award…

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Troutman Pepper Ramps Up White Collar + Government Investigations Practice in North Carolina with Partner Addition | Troutman Pepper

Matthew “Matt” Orso, a white collar litigation attorney who has significant experience counseling clients facing government investigations, has joined Troutman Pepper’s nationally recognized White Collar + Government Investigations Practice Group as a partner in Charlotte. He previously served as co-lead of the Bank Defense and Counseling team at McGuireWoods. Source: Troutman Pepper Ramps Up White Collar + Government Investigations Practice…

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Senators Open Probe Into KPMG’s Relationships With Failed Banks

Two senators are looking into KPMG’s relationship with three recently failed banks, asking the firm for a wide range of documents for their initial inquiry. Sens. Richard Blumenthal (D-Conn.) and Ron Johnson (R-Wis.) sent a letter to KPMG CEO Paul Knopp Wednesday asking for “all communications,” records “referring or relating to” the firm’s audits and advisory work, and a “complete…

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UBS Whistleblower Case Creates Avenue to Upend Retaliation Test

Whistleblowers across various industries potentially face a heightened standard for proving retaliation now that the US Supreme Court is on course to clarify the burden-shifting framework in a case involving a former UBS employee. The justices agreed earlier this week to hear a former UBS Securities LLC research strategist’s whistleblower case, the crux of which turns on whether the Sarbanes-Oxley…

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New York AG Proposes Landmark Crypto Law, Citing ‘Dysfunction’ – Bloomberg

New York Attorney General Letitia James proposed a state law to tighten rules over cryptocurrency companies in her latest swing at an industry she claims is suffering from “rampant fraud and dysfunction.” Under her proposal, New York would require independent public audits of crypto exchanges and bar people from owning both brokerages and tokens to prevent conflicts of interest. In…

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Coinbase Tries Novel Defense in SEC Fight – WSJ

Coinbase went public in April 2021 after clearing a six-month review. SEC staff bored into its financial reporting and disclosures as well as the company’s belief that its menu of cryptocurrencies shouldn’t be treated as securities, which the SEC regulates. Coinbase’s lawyers argue that by clearing the review, regulators signaled that they “did not think Coinbase’s core business was unlawful.”…

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U.S. bankers urge SEC to probe short sales, reduce ‘abusive’ trading | Reuters

The American Bankers Association on Thursday urged federal regulators to investigate a spate of significant short sales of publicly traded banking equities that it said were “disconnected from the underlying financial realities.” In a letter to U.S. Securities and Exchange Commission Chair Gary Gensler, the lobby group said it had also observed “extensive social media engagement” about the health of…

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