California Securities Fraud Attorney Call Today 800-699-1881
California Securities Fraud Lawyer Firm Overview Attorney Profiles Recoveries Obtained Frequently Asked Questions Testimonials Contact Us
information center
Attorney Advertising Disclaimer
Securities
Broker Misrepresentation
Brokerage Firms Sued
FINRA
Structured Products
Hedge Fund Losses
Recognizing Investment Losses
Recovery of Investment Loss
Securities Arbitration
Reverse Convertible
Misconduct
Securities Fraud
Securities Mediation
Securities Litigation
Stock/ Investment Losses
Suitability/ Unsuitability
Unauthorized Trading
Common Claims
Products
Frequently Asked Questions
Attorney Referrals
Video Center
securities fraud blog
legal blog Click here for a free case evaluation. Read our Articles on Securities Related Issues here. have a question resources
contact us
Name:
Email:
Phone:
Are you a new client?
Message:
10 Avvo avvo badge
If you need help recovering your losses contact us today. View our complete list of brokerage firms and banks we've sued.

SEC Seeks Admission, Apologies from Big Banks that Broke Securities Laws During Crashes

In a long due departure from its standard practice of allowing banks, brokerages, and companies to settle civil cases without admitting any wrongdoing, SEC chair Mary Jo White went on record stating her desire for companies that break the law to continue to pay fines and restitution for what they've done—but also admit it.

Stating that "major companies, in particular, really don't want to be at war with their primary regulator"—the Securities and Exchange Commission—White implored her Commission to realize the power and leverage it holds and to use this to enhance public accountability and honesty.

President Obama nominated White to the SEC chair nearly one year ago and White has served in that role since April 2013. Since then, and in concert with White's accountability approach, multiple offenders—both individual and firm—have had to admit wrongdoing as part of a settlement or punishment's terms.

JPMorgan Chase & Co., for instance, admitted it broke securities laws during the "London Whale" episode. The 2012 estimated trading loss of $2 billion—later revised to over $6 billion—resulted from what JPMorgan Chase CEO Jamie Dimon said was a "flawed, complex, poorly reviewed, poorly executed and poorly monitored" trading strategy.

With cooperation from the FBI and Federal Reserve, the SEC ordered JPMorgan Chase to not just pay $1 billion in penalties, but to concede it broke the law.

Similarly, Philip Falcone, founder of the Harbinger Capital Partners hedge fund in New York, received an $11.5 million settlement, including $6.5 million disgorgement of illicit profits, $1.01 million in prejudgment interest and over $4 million in civil penalties—furthermore, the deal, brokered by Mary Jo White after she felt an earlier deal—which only ordered Falcone pay $4 million—was too lenient, ordered Falcone to admit he broke the law, the first time in several years a defendant was ordered to admit wrongdoing.

White also stated the SEC has developed "much stronger" systems for the detection and pursuit of Madoff or similar Ponzi schemes.

If you have invested with a broker, adviser or firm who you suspect of shady dealings—including outright violations of law or SEC/FINRA rules or firm policies—and this illicit behavior has proven harmful to your financial interests, please call The Law Offices of Jonathan W. Evans & Associates at (800) 699-1881.

News: SEC's Mary Jo White wants companies to fess up (LA Times)

accolades
The Law Offices of Jonathan W. Evans & Associates - California Securities Fraud Attorney
Located at 12711 Ventura Boulevard, Suite #440 Studio City, CA 91604. View Map
Phone: (800) 699-1881 | Local Phone: (818) 760-9880.
Website: