SEC’s enforcement action against hedge fund adviser for retaliation against a whistleblower highlights challenges employers face

2014 ◽  
Vol 15 (4) ◽  
pp. 7-10
Author(s):  
Bryan B. House ◽  
Pam L. Johnston ◽  
Courtney Worcester
Keyword(s):  
Hedge Fund ◽  
Securities And Exchange Commission ◽  
Wall Street ◽  
Content Type ◽  
Enforcement Action ◽  
The Status ◽  
The Usa ◽  
Fraudulent Activity ◽  
Enforcement Authority ◽  
A Company

Purpose – To explain a recent enforcement action by the USA Securities and Exchange Commission (SEC) whereby the SEC brought its first enforcement action for retaliation against a whistleblower under the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank). Design/methodology/approach – Explains the SEC’s recent enforcement action under Dodd-Frank, highlighting the efforts that a company undertook with respect to continuing to employ a whistleblower after potentially fraudulent activity was reported and discusses practical problems faced by such companies when trying to simultaneously investigate potential wrong-doing without being seen as retaliating against a whistleblower. Findings – Through this enforcement action, the SEC has demonstrated a willingness to bring cases to enforce Dodd-Frank’s anti-retaliation provisions even though Dodd-Frank does not expressly grant it such enforcement authority. Practical implications – Companies must have a strong culture of compliance and a strong policy encouraging whistleblowers to report concerns internally if at all possible. Once the whistleblower has reported to the SEC, a company will need to maintain the status quo with respect to the whistleblower. Originality/value – Practical guidance from attorneys with experience with the SEC and whistleblower actions.

Settlement payouts will promote US whistle-blowing

2016 ◽  
Keyword(s):  
Securities And Exchange Commission ◽  
Class Action ◽  
Department Of Justice ◽  
Content Type ◽  
Whistle Blowing ◽  
Enforcement Action ◽  
Residential Mortgage ◽  
Mortgage Backed Securities ◽  
Limited Class ◽  
A Company

Significance The marked increase in 2015 expenses stems in part from Goldman's 5.1-billion-dollar settlement with the Department of Justice (DoJ) and various federal and state regulators announced on January 14 relating to the firm's securitisation, underwriting and sale of residential mortgage-backed securities from 2005 to 2007. On January 15, the Securities and Exchange Commission (SEC) announced a 700,000-dollar award to a whistle-blower, the first-ever such award to a company outsider for analysis that led to a successful enforcement action. Impacts The SEC's whistle-blower payout to an outsider may incentivise further 'bounty-hunting' against corporations by external experts. Business-friendly judicial decisions that have limited class action recoveries will not necessarily restrict whistle-blower claims. The salience of the Sanders campaign among primary voters skews post-election political headwinds against deregulation-friendly Democrats.

The municipal advisor regulatory framework – where we are and where to next

2017 ◽  
Vol 18 (1) ◽  
pp. 53-57
Author(s):  
Ernesto Lanza
Keyword(s):  
Regulatory Compliance ◽  
Securities And Exchange Commission ◽  
Regulatory Framework ◽  
Fiduciary Duty ◽  
Business Practices ◽  
Financial Industry ◽  
Wall Street ◽  
Content Type ◽  
Consumer Protection Act ◽  
The Status

Purpose To describe the status of municipal advisor rulemaking by the US Securities and Exchange Commission (SEC) and Municipal Securities Rulemaking Board (MSRB), and regulatory compliance approaches, under the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act). Design/methodology/approach Examines the posture of the SEC, MSRB and Financial Industry Regulatory Authority (FINRA) upon completion of the MSRB’s core regulatory framework for municipal advisors. Explores threshold issues in determining municipal advisor status, approaches for preparing for and responding to initial regulatory compliance examinations by the SEC and FINRA, and key considerations in reviewing municipal advisor policies, procedures and business practices in light of the evolving regulatory and marketplace landscape. Findings SEC and FINRA compliance examiner feedback points to the expectation that municipal advisor policies, procedures, processes and records must be fully consistent with the firm’s business activities and must address each material aspect of all applicable MSRB and SEC rules, as well as the fiduciary duty of municipal advisors to their municipal entity clients under the Securities Exchange Act of 1934. Originality/value Practical guidance from experienced securities and public finance attorney that provides a consolidated outline of key municipal advisor regulatory compliance obligations under the Dodd-Frank Act.

Cold War consumption and the marketing of childhood in the Soviet Union and the United States, 1950-1960

2016 ◽  
Vol 8 (1) ◽  
pp. 83-98 ◽  
Author(s):  
Margaret Peacock
Keyword(s):  
Cold War ◽  
Soviet Union ◽  
The United States ◽  
Content Type ◽  
The Soviet Union ◽  
The Status ◽  
The Usa ◽  
History Of ◽  
Global Discourse ◽  
The Cold War

Purpose – This paper aims to explore the relationship between childhood, consumption and the Cold War in 1950s America and the Soviet Union. The author argues that Soviet and American leaders, businessmen, and politicians worked hard to convince parents that buying things for their children offered the easiest way to raise good American and Soviet kids and to do their part in waging the economic battles of the Cold War. The author explores how consumption became a Cold War battleground in the late 1950s and suggests that the history of childhood and Cold War consumption alters the way we understand the conflict itself. Design/Methodology/Approach – Archival research in the USA and the Russian Federation along with close readings of Soviet and American advertisements offer sources for understanding the global discourse of consumption in the 1950s and 1960s. Findings – Leaders, advertisers, and propagandists in the Soviet Union and the USA used the same images in the same ways to sell the ethos of consumption to their populations. They did this to sell the Cold War, to bolster the status quo, and to make profits. Originality/Value – This paper offers a previously unexplored, transnational perspective on the role that consumption and the image of the child played in shaping the Cold War both domestically and abroad.

The role and status of communication practice in the USA and Europe

2014 ◽  
Vol 18 (1) ◽  
pp. 2-15 ◽  
Author(s):  
Jerry Swerling ◽  
Kjerstin Thorson ◽  
Ansgar Zerfass
Keyword(s):  
New Media ◽  
Public Relations ◽  
Media Environment ◽  
Content Type ◽  
Communication Practice ◽  
Attitudes And Practices ◽  
The Status ◽  
The Usa ◽  
Social Media Tools ◽  
Use Of Social Media

Purpose – The purpose of this paper is to explore trends in practitioners’ perceptions of their role within organizations as well as their influence among senior management both in the USA and Europe. It analyses practitioners’ beliefs about the status of their work as well as their understandings of the ways the new media environment is shifting their everyday practice. Design/methodology/approach – This paper draws on data from two surveys of public relations (PR) practitioners, one in the USA and the other in Europe. These data enable comparisons between communication practice in the two geographic areas. The paper focusses the analysis on senior-level practitioners who reported working within the communication department of an organization. Findings – The findings of this study suggest that practitioners in both regions are optimistic about the influence of communications within their broader organizations. However, European practitioners are more likely to adopt a “central but flexible” organizational strategy for managing the need to speak in many voices across media and publics. American respondents report much greater use of social media tools than do their European counterparts. These findings are discussed as they relate to the diverse circumstances characterizing the communication practice in each region. Originality/value – This paper provides a rare comparative look at attitudes and practices within PR and communications in two distinct geographic areas.

Gender-based perception of civil engineering and construction students towards infrastructure and community resilience

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Saeed Rokooei ◽  
Farshid Vahedifard ◽  
Solomon Belay
Keyword(s):  
Gender Differences ◽  
Natural Hazards ◽  
Evaluation Model ◽  
Community Resilience ◽  
Female Students ◽  
Content Type ◽  
The Status ◽  
The Usa ◽  
Gender Based ◽  
Civil Engineers

Purpose The purpose of this study is to investigate the effect of gender differences in the perception of civil engineers and construction (CEC) students toward resilience to natural hazards and extreme events in a changing climate. This study also explores to what extent CEC students perceive the status of the US infrastructure systems similar to an external evaluation model (i.e. American Society of Civil Engineers Infrastructure Report Card). Design/methodology/approach An empirical study was conducted to examine the perception of resilience among 103 females and 279 male CEC students from 15 universities across the USA. The obtained data were quantified, and different statistical methods were used to explore the similarities and differences in the gender group responses. Findings The results indicated a significant mean difference (disagreement) between male and female groups in the importance of community resilience, management and handling of natural hazards. In addition, while there was no meaningful difference between female and male students in their content knowledge, female students showed a more accurate perception about impacting factors involved. Originality/value The findings of this study offer new insight into the impacts of gender differences in the perception of resilience, which can be used to enhance the educational experience of CEC female students in areas related to community and infrastructure resilience.

SEC credits self-reporting and cooperation in not imposing penalty on ICO sponsor

2019 ◽  
Vol 20 (2) ◽  
pp. 13-15
Author(s):  
Daniel Hawke
Keyword(s):  
Design Methodology ◽  
Securities And Exchange Commission ◽  
Self Report ◽  
Content Type ◽  
Enforcement Action ◽  
Expert Analysis ◽  
Securities Laws ◽  
Insight Into ◽  
Civil Penalty ◽  
Do So

Purpose To explain a February 20, 2019 US Securities and Exchange Commission (SEC) settled enforcement action against Gladius Network LLC for failing to register an initial coin offering (ICO) under the federal securities laws, in which Gladius was able to avoid a civil penalty by self-reporting the violation and cooperating with the SEC enforcement staff. Design/methodology/approach Explains Gladius’ self-reporting, cooperation and remedial steps; why the SEC imposed no civil penalty on Gladius; and two similar cases the SEC instituted in July 2018 against companies that conducted unregistered ICOs, did not self-report, and were penalized. Provides analysis and conclusions. Findings The Gladius case offers important insight into how the SEC and its staff think about cooperation credit in resolving SEC enforcement actions and sends a clear message that self-reporting to the SEC can result in meaningful cooperation credit. In three recent cases, the Commission has made clear that once it put the industry on notice that ICOs could be securities that must be registered under the federal securities laws, a party risks enforcement action by failing to do so. Originality/value Expert analysis and guidance from an experienced securities lawyer who counsels clients on all manner of SEC enforcement, examination and regulatory policy matters.

XBRL adoption and cost of debt

2015 ◽  
Vol 23 (2) ◽  
pp. 199-216 ◽  
Author(s):  
Syou-Ching Lai ◽  
Yuh-Shin Lin ◽  
Yi-Hung Lin ◽  
Hua-Wei Huang
Keyword(s):  
Financial Reporting ◽  
Securities And Exchange Commission ◽  
Cost Of Debt ◽  
Content Type ◽  
Public Firms ◽  
Top Managers ◽  
Weak Evidence ◽  
The Usa ◽  
Mandatory Adoption ◽  
The Cost

Purpose – This paper aims to examine the relation between the cost of debt and the adoption of eXtensible Business Reporting Language (XBRL). Design/methodology/approach – The financial data are obtained from the Compustat database. Regression analysis is used to examine the research hypotheses. Findings – The authors find that both voluntary and mandatory adoption of XBRL lead to a lower cost of debt for firms, with weak evidence that this reduction is greater for the former than the latter. Research limitations/implications – The findings support the policy of the USA Securities and Exchange Commission (SEC), and thus this paper recommends that adoption of XBRL should be mandatory for all public firms. Practical implications – The findings encourage top managers to develop their firms’ XBRL systems. Originality/value – The results support the SEC’s policy of mandatory XBRL adoption, as it can lead to greater financial reporting transparency and mitigate information asymmetry between management and bondholders.

Current Hedge Fund Debates and Controversies

2017 ◽  
Author(s):  
Dianna C. Preece
Keyword(s):  
Insider Trading ◽  
Hedge Funds ◽  
Conflicts Of Interest ◽  
Hedge Fund ◽  
Securities And Exchange Commission ◽  
Active Management ◽  
Wall Street ◽  
Net Worth ◽  
Market Participants ◽  
Alternative Beta

The hedge fund industry has grown to nearly $3 trillion over the last 20 years. High-net-worth individuals and institutional investors expect high returns and low correlation with traditional asset classes in exchange for the fees paid. The standard fee structure is “2 and 20,” 2 percent of assets under management and 20 percent of profits, representing high fees for active management. Hedge funds are largely unregulated and somewhat mysterious. As a result, they are the subject of debates and controversies among market participants and policymakers alike. Debates focus on fee structures, alpha versus alternative beta, weakening returns, activist investors, and leverage. The Securities and Exchange Commission has targeted hedge fund misconduct and malfeasance, pursuing perpetrators of fraud, insider trading, and conflicts of interest in the industry. Several high-ranking Wall Street hedge fund executives have been charged with, and in some cases convicted of, breaking securities laws.

scholarly journals The US dollar and new imperialism under the logic of capital accumulation

2019 ◽  
Vol 2 (1) ◽  
pp. 98-107
Author(s):  
Haiping Qiu ◽  
Min Zhao
Keyword(s):  
Capital Accumulation ◽  
International Monetary System ◽  
Content Type ◽  
Monetary System ◽  
The Us ◽  
The World ◽  
The Status ◽  
The Usa ◽  
New Imperialism ◽  
Us Dollar

Purpose The world currency is endowed with two inherent contradictions, namely, the general contradiction of all currencies and the special contradiction between the quality and quantity of the world currency. The paper aims to discuss these issues. Design/methodology/approach In the wake of the Second World War, the USA, with its strong economic and military strength, established an international monetary system centered on the US dollar (USD). This gave USD the status of “world currency” and bounded it to the US imperialist hegemony with mutual integration and interaction, making it possible for USD capital to conduct international exploitation and wealth plundering extensively around the world. Findings The contradiction between the capital logic and the power logic, which is inherent in capital accumulation models of the new imperialism, also indicates the inevitable decline of USD. Originality/value This constitutes an important feature of the new imperialism. However, as a sovereign currency, USD has inextricable and inherent contradictions while exercising its function as the world currency.

Bringing order to non-GAAP financial measures: SEC sues to enforce “equal-or-greater-prominence” requirement

2019 ◽  
Vol 20 (4) ◽  
pp. 51-57
Author(s):  
Richard J. Parrino
Keyword(s):  
Design Methodology ◽  
Securities And Exchange Commission ◽  
Content Type ◽  
Financial Measures ◽  
Generally Accepted Accounting Principles ◽  
Enforcement Action ◽  
Accounting Principles ◽  
Depth Analysis ◽  
The Us ◽  
Earnings Releases

Purpose This article examines the first action by the US Securities and Exchange Commission to enforce the “equal-or-greater-prominence” requirement of its rules governing the presentation by SEC-reporting companies, in their SEC filings and earnings releases, of financial measures not prepared in accordance with generally accepted accounting principles (GAAP). Design/methodology/approach This article provides an in-depth analysis of the equal-or-greater-prominence rule and the SEC’s enforcement posture in the context of the SEC’s concern that some companies present non-GAAP financial measures in a manner that inappropriately gives the non-GAAP measures greater authority than the comparable GAAP financial measures. Findings Although the appropriate use of non-GAAP financial measures can enhance investor understanding of a company’s business and operating results, investors could be misled about the company’s GAAP results by disclosures that unduly highlight non-GAAP measures. The SEC’s enforcement action signals a focus on the manner in which companies present non-GAAP financial measures as well as on how they calculate the measures. Originality/value This article provides expert guidance on a major SEC disclosure requirement from an experienced securities lawyer.

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