Category: Regulation

Hong Kong SFC
December 30, 2024 BY Sam Boughedda

Hong Kong Regulator Fines Ever-Long Securities Company Limited $3m

The SFC investigation is said to have found that Ever-Long fell short in conducting due diligence, disclosing material issues, and ensuring the accuracy of the Application Proof submitted for Coastal’s listing.  The regulator explained that key failures included neglecting to verify the rationale and legality of a leasing arrangement central to Coastal's business model, which…

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December 27, 2024 BY Sam Boughedda

J.P. Morgan Securities Fined $3 Million by FINRA

The fine was for inaccuracies in its short interest positions reporting and deficiencies in its supervisory systems.  According to FINRA, the violations spanned over 16 years, from June 2008 to August 2024, involving approximately 820,000 short interest positions totalling 77 billion shares. The regulator found that J.P. Morgan both overreported and underreported short interest data…

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December 24, 2024 BY Sam Boughedda

SEC Charges Investment Adviser Dolphin Associates and Donald Netter for Misleading Investors

The U.S. Securities and Exchange Commission (SEC) said Monday that it has filed charges against Connecticut-based Dolphin Associates III and its principal, Donald T. Netter, accusing them of withholding investor funds, charging excessive fees, and misleading investors. The SEC alleges that since November 2016, Dolphin and Netter improperly suspended withdrawals from a private fund they…

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December 23, 2024 BY Sam Boughedda

Australian Arm of Sanlam Group to Have Compliance Processes Reviewed After Breaching Licensee Obligations

It follows the Australian Securities and Investments Commission’s (ASIC) investigation, which revealed deficiencies in Sanlam Private Wealth Pty Ltd’s oversight of its authorised representatives and corporate authorised representatives (CARs). ASIC said in a press release Monday that it found Sanlam failed to supervise its 42 CARs and 71 authorised representatives adequately, many of whom offered…

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ASIC ban
December 23, 2024 BY Sam Boughedda

Australian Federal Court Says CFD Issuers EuropeFX and TradeFred Engaged in Systemic Unconscionable Conduct

The court is said to have ruled that collapsed Union Standard International Group Pty Ltd (USG), along with its former authorised representatives BrightAU Capital Pty Ltd (trading as TradeFred) and Maxi EFX Global AU Pty Ltd (trading as EuropeFX), engaged in systemic unconscionable conduct and other legal breaches, resulting in customer losses exceeding $83 million…

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December 19, 2024 BY Sam Boughedda

Swoosh Finance: ASIC Alleges Breach of Responsible Lending Obligations

ASIC alleges the lender breached responsible lending obligations and failed to comply with design and distribution obligations (DDO). According to ASIC, Swoosh entered loans with 11 consumers between October 2019 and October 2024 without adequately assessing their financial circumstances. ASIC claims many of these borrowers faced financial difficulties, with signs of distress such as negative…

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FINRA building
December 19, 2024 BY Sam Boughedda

UBS Financial Services Fined $500,000 by FINRA

The fine comes as FINRA says UBS-FS failed to establish and maintain a supervisory system to oversee the short-term trading of syndicate preferred stocks. Between January 2017 and December 2018, UBS-FS representatives are said to have recommended short-term trades in syndicate preferred stocks to retail customers.  According to the regulator, this resulted in financial losses…

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Nomura
December 16, 2024 BY Sam Boughedda

Nomura Releases Statement Following Action by OSE and TSE

It was revealed that the OSE has imposed a 60 million yen fine on Nomura for Japanese government bond futures transactions conducted in March 2021.  Additionally, the exchange has suspended Nomura's proprietary trading of government bond futures and options from December 25 to 27, 2024. Meanwhile, the Tokyo Stock Exchange has issued a reprimand to…

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December 15, 2024 BY Sam Boughedda

ASIC Sues HSBC Australia for Failure to Protect Customers From Scams

ASIC argues the bank did not have adequate controls in place to prevent or detect unauthorised payments and failed to investigate scam reports within the specified timeframes required. HSBC customers are said to have lost approximately $23 million due to unauthorised transactions between January 2020 and August 2024, with $16 million occurring in just six…

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