Financial Compliance

SEC Obtains Final Judgments in Insider Trading Case

The SEC announced the entry of final consent judgments against Joseph C. Lewis, Carolyn W. Carter, Patrick J. O’Connor, and Bryan L. Waugh in an insider trading case. The judgments include penalties, disgorgement, and prejudgment interest totaling over $2.3 million.

SEC Settles Joel Castellanos Ponzi Scheme Action

The SEC has settled an action against Joel Castellanos for his role in an alleged $196 million Ponzi scheme. Castellanos is charged with selling unregistered securities and operating without proper registration, resulting in a $150,000 civil penalty and disgorgement.

SEC Obtains Final Consent Judgment Against Ian G. Bell

The SEC announced it obtained a final consent judgment against Ian G. Bell, a Denver day-trader charged with defrauding investors. Bell raised over $1.3 million from 29 investors by lying about trading performance and misappropriating funds. He is permanently enjoined from securities violations and ordered to pay disgorgement.

SEC Enforcement Manual Updates

The SEC's Division of Enforcement has updated its Enforcement Manual to enhance fairness, transparency, and efficiency in its investigative processes. Key changes include a uniform Wells process with a four-week submission period and guidance on simultaneous settlement and waiver consideration.

ESMA Consultation on CCP Collateral and Investment Policy

The European Securities and Markets Authority (ESMA) has issued a consultation paper regarding guarantees as collateral for Central Counterparties (CCPs) and certain aspects of their investment policies. The consultation seeks feedback on proposed changes to the regulatory framework governing CCPs.

SEC Files Settled Action Against Former CEO and Consultant for False Press Release

The SEC filed a settled action against former Edison Nation CEO Christopher B. Ferguson and consultant Brian P. McFadden for allegedly disseminating a false press release regarding PPE purchase orders. Ferguson and McFadden consented to permanent injunctions, civil penalties of $50,000 each, and officer/director bars.

ESMA Consults on CCP Collateral and Investment Policy

The European Securities and Markets Authority (ESMA) has launched a public consultation on proposed changes to central counterparty (CCP) collateral and investment policies, stemming from EMIR 3. The consultation seeks feedback on the acceptance of various guarantees as collateral and the eligibility of debt instruments for CCP investment policies, with a deadline for responses on April 30, 2026.

ESMA Withdraws MiFID II/MiFIR Market Data Guidelines

The European Securities and Markets Authority (ESMA) has withdrawn its guidelines on MiFID II/MiFIR obligations concerning market data. This action aligns the regulatory framework with new technical standards that entered into force in November 2025, aiming to simplify rules for market participants.

OSFI Superintendent Discusses Mortgage Regulation and Financial System Resilience

OSFI Superintendent Peter Routledge discussed the future of mortgage regulation, including the retention of stress tests and LTI limits, and OSFI's ongoing regulatory modernization efforts. The speech highlighted OSFI's commitment to adapting its framework based on feedback from regulated institutions.

ESMA Supervisory Briefing on CCP AAR Representativeness Obligation

The European Securities and Markets Authority (ESMA) has issued a supervisory briefing clarifying the representativeness obligation for Central Counterparties (CCPs) regarding their Approved Alternative Arrangements (AARs). This guidance aims to ensure consistent application of the obligation across the EU.