SEC Nears Deals With Dozens of Firms Over Unauthorized Messaging

SEC nearing settlements with around 2 dozen Wall Street firms over record-keeping lapses related to use of WhatsApp and other unauthorized messaging apps
Firms include broker-dealers and investment advisers; expected to pay fines, admit wrongdoing, commit to fixing issues
Settlements would mark latest action in SEC's 2-year crackdown on Wall Street's use of unauthorized messaging apps
SEC has so far brought 30 related enforcement actions that have resulted in over $2 billion in fines
Crackdown began after JPMorgan failed to provide documents from 2018 for unrelated probe, resulting in $125 million SEC fine

reuters.com

Relevant topic timeline:

8/23/2023

Goldman, JPMorgan, Morgan Stanley, UBS in $499 million stock lending settlement

Goldman Sachs, JPMorgan Chase, Morgan Stanley, and UBS have agreed to pay $499 million to settle an antitrust lawsuit accusing them of conspiring to stifle competition in the stock lending market.

9/22/2023

Goldman Sachs to Pay $6 Million Penalty for Providing Deficient Trade Data to SEC Over 10 Years

Goldman Sachs has agreed to pay a $6 million penalty for failing to provide complete and accurate securities trading information to the Securities and Exchange Commission (SEC) over a period of ten years, resulting in deficient blue sheet submissions containing missing or inaccurate trade data for at least 163 million transactions.

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.

9/25/2023

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.

9/29/2023

SEC Fines Wall Street Firms $111 Million for Using WhatsApp and Other Unapproved Messaging Apps

The Securities and Exchange Commission has fined eight companies a total of $111 million for record-keeping failures related to their use of unapproved messaging channels, such as WhatsApp, for discussing business.

10/12/2023

FTC Bans Bankrupt Crypto Firm Voyager Digital from Handling Customer Assets, Files Suit Against Former CEO Over False Claims of FDIC Insurance

The Federal Trade Commission has reached a settlement with bankrupt crypto company Voyager, permanently banning it from handling consumer assets and filing a lawsuit against its former CEO for falsely claiming that customers' accounts were insured, resulting in over $1 billion in losses for consumers.

10/26/2023

SEC Seeks $770 Million From Ripple in Ongoing XRP Lawsuit, But Settlement Hinges on Key Rulings

The SEC is reportedly demanding $770 million to settle its lawsuit against Ripple Labs, but Ripple is expected to fight back and try to reduce the penalty.

Topics

Posted 9/28/2023, 10:00:00 AM

SEC Nears Deals With Dozens of Firms Over Unauthorized Messaging

SEC nearing settlements with around 2 dozen Wall Street firms over record-keeping lapses related to use of WhatsApp and other unauthorized messaging apps
Firms include broker-dealers and investment advisers; expected to pay fines, admit wrongdoing, commit to fixing issues
Settlements would mark latest action in SEC's 2-year crackdown on Wall Street's use of unauthorized messaging apps
SEC has so far brought 30 related enforcement actions that have resulted in over $2 billion in fines
Crackdown began after JPMorgan failed to provide documents from 2018 for unrelated probe, resulting in $125 million SEC fine

reuters.com

Relevant topic timeline:

8/23/2023

Goldman, JPMorgan, Morgan Stanley, UBS in $499 million stock lending settlement

Goldman Sachs, JPMorgan Chase, Morgan Stanley, and UBS have agreed to pay $499 million to settle an antitrust lawsuit accusing them of conspiring to stifle competition in the stock lending market.

9/22/2023

Goldman Sachs to Pay $6 Million Penalty for Providing Deficient Trade Data to SEC Over 10 Years

9/22/2023

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

9/25/2023

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

9/29/2023

SEC Fines Wall Street Firms $111 Million for Using WhatsApp and Other Unapproved Messaging Apps

10/12/2023

FTC Bans Bankrupt Crypto Firm Voyager Digital from Handling Customer Assets, Files Suit Against Former CEO Over False Claims of FDIC Insurance

10/26/2023

SEC Seeks $770 Million From Ripple in Ongoing XRP Lawsuit, But Settlement Hinges on Key Rulings

The SEC is reportedly demanding $770 million to settle its lawsuit against Ripple Labs, but Ripple is expected to fight back and try to reduce the penalty.