Latest Regulatory Announcements
Signing of a Memorandum of Understanding with the United States Department of Homeland Security
On Monday, 20 May 2019, the Federal Department of Finance (FDF), represented by the Federal Customs Administration (FCA), signed a memorandum of understanding on cooperation in customs matters with the United States Department of Homeland Security, represented by the United States Customs and Border Protection (US CBP) in Washington D.C.
FMA Research Highlights Gap Between What Investors Expect and What Auditors Deliver
An FMA research project with investors, directors, managers and auditors has identified reasonable levels of confidence in audit quality, but also a serious gap in the expectations of investors and what auditors deliver. The FMA commissioned the research to better understand public and industry perceptions of audit quality in New Zealand.
CFTC and SEC Participate in the Signing Ceremony for the IOSCO Enhanced Multilateral MOU Concerning Cross-Border Enforcement
At the 44th Annual International Organization of Securities Commissions (IOSCO) Conference in Sydney, Australia, the Chairmen of the U.S. Commodity Futures Trading Commission (CFTC) and the U.S. Securities and Exchange Commission (SEC) participated in a signing ceremony on May 15 for the IOSCO Enhanced Multilateral Memorandum of Understanding Concerning Consultation and Cooperation and the Exchange of Information (EMMoU).
SEC Obtains Emergency Order Halting Alleged Diamond-Related ICO Scheme Targeting Hundreds of Investors
The Securities and Exchange Commission today announced it has obtained a court order halting an ongoing $30 million ICO scheme targeting more than 300 investors in the U.S. and Canada. The SEC complaint unsealed Monday charges South Florida-based Argyle Coin, LLC, a purported cryptocurrency business, and its principal Jose Angel Aman with using investor funds to run a Ponzi scheme.
SEC and CFTC Participate in the Signing Ceremony for the IOSCO Enhanced Multilateral Memorandum of Understanding Concerning Cross-Border Enforcement
At the 44th Annual International Organization of Securities Commissions (IOSCO) Conference in Sydney, Australia, the Chairmen of the U.S. Securities and Exchange Commission and the U.S. Commodity Futures Trading Commission (CFTC) participated in a signing ceremony on May 15 for the IOSCO Enhanced Multilateral Memorandum of Understanding Concerning Consultation and Cooperation and the Exchange of Information (EMMoU).
Establishment of Cyber Security Competence Centre One Step Further
Bern, 15.05.2019 – During its meeting on 15 May 2019, the Federal Council adopted the implementation plan for the 2018–2022 national strategy for the protection of Switzerland against cyber risks (NCS) and thereby made further decisions on the establishment of the Cyber Security Competence Centre. At the same time, the Federal Council decided to strengthen human resources in the area of cyber risks with an extra 24 posts.
Saskatchewan Passes new Securities legislation to Strengthen Investor Protection
The Securities Amendment Act, which received Royal Assent on May 15, provides IIROC with the ability to more effectively and consistently enforce its rules and discipline those who break them. Specifically, the legislation provides IIROC with the ability to enforce through the courts its fines against individuals that engage in misconduct, sending a strong deterrent message to potential wrongdoers. The legislation also clarifies IIROC’s right to appeal a decision made by a disciplinary hearing panel to the Financial and Consumer Affairs Authority of Saskatchewan (FCAA).
IIROC Enforcement Report Charts Achievements in Securing Stronger Legislation to Protect Investors Across Canada
The Investment Industry Regulatory Organization of Canada (IIROC) today published its annual Enforcement Report, highlighting progress made to enhance the regulator’s enforcement toolkit that protects Canadian investors and the integrity of Canada’s capital markets. Highlights
10 Formal AML/CFT Warnings Issued by FMA
The FMA carried out a risk-based assessment of independent audit reports for reporting entities it supervises in February this year, targeting 69 reporting entities. The FMA supervises around 800 reporting entities, of whom roughly two-thirds define themselves as financial advisers.
Jury Rules in SEC’s Favor, Finds Brokerage Firm and Two of Its Executives Liable for Fraud
The SEC charged the brokerage firm, Portfolio Advisors Alliance Inc. (PAA), Howard J. Allen, the indirect owner of PAA, and Kerri L. Wasserman, PAA’s president, with fraud and related charges in connection with making material misrepresentations and omissions in American Growth Funding II LLC (AGF II)’s private placement offering. The SEC alleged that AGF II, which raised capital from investors to provide loans to businesses, and its owner, Ralph C. Johnson, promised investors 12 percent annual returns and falsely claimed in offering documents that its financial statements were being audited each year. The SEC further alleged that PAA, Allen, and Wasserman knew the offering documents were inaccurate yet continued using them to solicit sales of AGF II securities.
FINRA Launches Initiative to Simplify Firms’ Digital Experience with FINRA, Facilitating More Efficient and Effective Compliance Programs
FINRA announced today that it is launching an initiative to transform the digital platform that firms use to engage with FINRA across several programs. The Digital Experience Transformation, as it is being called, is a wide-ranging, multi-year effort to integrate and simplify brokerage firms’ digital interactions with FINRA, facilitating more efficient and effective compliance programs. The initiative is the latest outgrowth of the ongoing FINRA360 organizational improvement initiative.
Doing the Right Thing by Your Customers: ASIC Consults on Lifting Standards and Transparency of Complaints Handling
Today ASIC initiated public consultation on new standards about how financial firms handle consumer and small business complaints. The proposed standards, which include new mandatory data reporting, will improve the way that consumer complaints are dealt with across the financial system and make firms’ complaints handling performance transparent.
CFTC’s Division of Market Oversight Issues Statement on the Certification of ICE Futures U.S., Inc. Submission No. 19-119
On February 1, 2019, ICE Futures U.S., Inc. (ICE or Exchange) self-certified[1] an amendment to ICE Rule 4.26 (Order Execution) (ICE Rule) that would allow ICE to implement a new functionality, named Passive Order Protection (“POP functionality” or “functionality”) (Submission). The POP functionality creates a delay or “speed bump” in the processing of incoming “aggressive” orders that would otherwise execute against “resting” or “passive” orders, but does not delay the processing of passive orders or their cancellations or modifications.
ASIC Bans Former Kaz Capital Adviser for Six Years
ASIC has banned Kaz Capital Adviser Mr David Stephen Cornford of Centennial Park, New South Wales, from providing financial services for six years. Mr Cornford was employed as an adviser at Kaz Capital Pty Ltd between 2014 and 2017.
Transforming Markets, Driven by Demand.
In April 2019, the Swiss stock exchange saw activity in its non-displayed liquidity pool increase again, as a growing number of trading participants enjoy the benefits of SwissAtMid more frequently and to a greater extent. Compared to the previous month, the number of transactions rose by 57% to a total of 116’190, while trading turnover soared by even 63%to reach CHF 3’156.8 million. As a result, SwissAtMid retains the leading market share in non-displayed trading of Swiss equities, with 39.4% and enabled participants to enjoy price improvements of CHF 741’480 in April.
High Court Delivers Judgment in Broker’s Appeal From the Full Federal Court
The appeal concerned how provisions in the Crimes Act 1914 (Cth) that allow courts and tribunals to consider spent convictions for the purposes of making a decision, apply to the Administrative Appeals Tribunal (AAT) when reviewing banning decisions made by ASIC. Spent convictions are generally those where 10 years has passed since a person was convicted, and the person was not imprisoned for more than 30 months in respect to that conviction.
Successful Opening of Customer Development Environment for DLT testing
ASX has successfully opened the Customer Development Environment (CDE) for its new equities clearing and settlement system to replace CHESS, which is based on distributed ledger technology (DLT). The first of seven ‘drops’ of software code was made available to customers on Tuesday 30 April. Additional functionality will be released at approximately eight-week intervals, culminating in full functionality in the CDE by mid-2020.
GSX Group Account Centre Launched for KYC On-boarding of GBX Users
As part of the continuing development of the GSX Group ecosystem, and the Gibraltar Blockchain Exchange (GBX) user on-boarding experience, a new KYC centre called the ‘GSX Group Account Centre’, has been created, scheduled to go live on Monday 6th at 8am UTC.
GFSC Welcomes New Board Member
The Gibraltar Financial Services Commission ( GFSC ) is pleased to announce the appointment, by the Minster for Commerce, of Emilio Gomez to its Board. The designation comes after Emma Perez finished her tenure on the Board, in December 2018.
HKMA Introduces Key Measures on Sustainable Banking and Green Finance
The Hong Kong Monetary Authority (HKMA) today unveiled three sets of measures to support and promote Hong Kong’s green finance development. In his opening remarks at the HKMA Green Finance Forum today, Mr Norman Chan, Chief Executive of the HKMA, said that the HKMA will collaborate with the industry and other stakeholders to combat climate change risks and develop green finance.
