Daily Archives: January 12, 2024, 9:35 am

SEC Charges Morgan Stanley and Former Executive Pawan Passi with Fraud in Block Trading Business

The Securities and Exchange Commission today charged investment banking giant Morgan Stanley & Co. LLC and the former head of its equity syndicate desk, Pawan Passi, with a multi-year fraud involving the disclosure of confidential information about the sale of large quantities of stock known as “block trades.” The SEC also charged Morgan Stanley with failing to enforce its policies…

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Former Goldman, Blackstone analyst pleads guilty to insider trading | Reuters

A former Goldman Sachs and Blackstone analyst admitted to an insider trading charge on Thursday, after prosecutors accused him of passing tips to two friends about planned corporate mergers and partnerships. Anthony Viggiano, 27, of Baldwin, New York, pleaded guilty to one count of securities fraud before U.S. District Judge Valerie Caproni in Manhattan. Viggiano was accused of passing tips…

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SAP Joins The Repeat Offender Club – FCPA Professor

In 2016 SAP (a German software company with American Depository Shares registered with the SEC) resolved a $3.9 million Foreign Corrupt Practices Act enforcement action. As highlighted here, in 2019 the company disclosed additional FCPA scrutiny and stated: “SAP has received communications and whistleblower information alleging conduct that may violate anti-bribery laws in South Africa, the United States (including the U.S. Foreign Corrupt Practices…

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SEC Charges Future FinTech CEO Shanchun Huang With Fraud and Disclosure Failures

The Securities and Exchange Commission today charged Shanchun Huang with manipulative trading in the stock of Future FinTech Group Inc., using an offshore account shortly before he became Future FinTech’s CEO in 2020. The SEC also charged Huang with failing to disclose his beneficial ownership of Future FinTech stock as well as transactions in such stock. Source: SEC Charges Future…

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Guest Post: Three Industry Predictions.  How Did We Do? | The D&O Diary

Prediction 1 We will see a flurry of cyber claims spill over and create Directors and Officers (D&O) claims. Insurance brokers, insurance underwriters, executives, and board members are rightly concerned with this possibility.  However, privately held companies and nonprofit organizations have not seen many cyber claims morph into D&O claims. Was this first prediction accurate? We are off base so…

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