Citadel Ready to Battle SEC Over Personal Device Monitoring Demands

Citadel plans to battle the SEC if it moves against the hedge fund over allegations of unmonitored communications. Citadel is willing to take the case to court.
Citadel would be the first financial firm to fight the SEC over untracked communications allegations. As a hedge fund, it may argue it's not subject to the same rules as banks.
Under SEC rules, many firms must retain business communications to help regulators detect misconduct. The SEC has sanctioned banks for bankers using personal phones without retaining chats.
The SEC asked Citadel for records from phones of some employees earlier this year, going further than what it asked of banks.
Citadel has not heard from the SEC since April and not received notice it will bring an action. A court loss for Citadel could lead to a large fine.

yahoo.com

Relevant topic timeline:

9/22/2023

Citadel Securities Fined $7 Million for Inaccurately Marking Millions of Short Sale Orders

Citadel Securities has settled with the Securities and Exchange Commission (SEC) for $7 million after violating a provision of Regulation SHO due to a coding error that resulted in millions of incorrect sale order markings over a five-year period.

9/24/2023

Citadel Sues Former Employees Over New Crypto Venture, Accuses Them of Stealing Secrets

Citadel Securities has taken legal action against founders of Portofino Technologies, Alex Casimo and Leonard Lancia, for allegedly plotting the launch of their start-up while still employed at Citadel Securities, while Portofino has accused Citadel of "intimidation and interference" and dismissed the claims as corporate bullying.

9/25/2023

SEC Collects Staff Messages from Major Firms as Part of Messaging App Probe

The U.S. Securities and Exchange Commission (SEC) has escalated its probe into Wall Street's use of private messaging apps by collecting thousands of staff messages from over a dozen major investment companies, raising the stakes for the companies and executives involved, and potentially exposing their conduct to SEC scrutiny.