News & Events

With the latest cyber crises momentarily at bay, SEC Chair Jay Clayton is taking the opportunity to address both short- and long-term agency priorities. In a speech before the Practising Law Institute’s 49th Annual Conference on Securities Regulation, Mr. Clayton continued to set forth the agency’s near-term, narrowly focused retail and institutional regulatory priorities and articulated longer-term elements of a five-year strategic plan.

Why do people commit fraud? This short video explores how pressure, opportunity and rationalization — called the Fraud Triangle — can come together to influence an individual to commit fraud.

Bates Group is a proud supporter of International Fraud Awareness Week, November 12-18, 2017.

Bates Consulting and Testifying Expert Dr. Shane Shook will be a featured speaker at an upcoming webinar titled Cybersecurity Threats to Banks and Financial Institutions: What to Know and What to Do, on November 30, 2017 from 12-1 p.m. EST. This complimentary CLE webinar is presented by Cadwalader, Wickersham & Taft LLP.

Covered financial institutions must assess and enhance their AML programs to be in compliance with the specific requirements of the new Rule by May 11, 2018. Is your firm ready?

Bates AML/BSA Consulting and Testifying Expert Susan Berger provides some background and details about the two new requirements which must be satisfied by the May 11 deadline.

Bates Group joins hundreds of organizations who have partnered with ACFE, one of the largest anti-fraud organizations, for their yearly Fraud Week campaign. 

According to Geoff Winkler, Bates Group’s Director of Fraud and Forensic Investigations, “No one is immune from fraud, as it affects every industry in both our business and personal lives.”

During Fraud Week, Bates Group will be sharing infographics, articles, videos and other information on batesgroup.com and on social media to promote fraud awareness, education, and prevention. 

Political momentum continues to drive lawmakers’ efforts to combat elder financial abuse. In our last report on the subject, Bates considered the current state of play as indicated by the North American Securities Administrators Association’s (NASAA) survey results on (i) firm practices and policies applicable to senior customers and (ii) state securities regulator perspectives on senior financial fraud. Since then, federal and state legislatures have enacted bipartisan laws to expand agency authority over elder abuse and to better cope with guardianship issues. 

Bates Group is pleased to announce that Michael Bernardo, Bates Group Managing Director, Compliance Solutions, will be a featured speaker at the 2017 Securities Symposium, sponsored by Greensfelder, Hemker & Gale, P.C. and The Bar Association of Metropolitan St. Louis, on Wednesday, November 8, 2017.

Co-Directors of the SEC Division of Enforcement, Stephanie Avakian and Steven Peikin, addressed enforcement priorities at a Securities Forum held in Washington, D.C. last week. Ms. Avakian’s formal remarks emphasized that the SEC will refocus its enforcement efforts toward the protection of retail investors and on a new integrated approach to cyber-related crime. Mr. Peikin, in widely-reported comments, described a shift in enforcement tactics, while also acknowledging resource constraints. Details after the jump.

David Zweighaft (CPA/CFF, CFE) is a New York-based Fraud Subject Matter Expert with over twenty-five years’ experience serving the legal and financial services communities as both a consultant and expert witness. He is the author of the recent article “Business email compromise and executive impersonation: are financial institutions exposed?”, which appears in Volume 18 Issue 1 of the Journal of Investment Compliance (published by Emerald Publishing Limited in the UK).

In two notices issued last week, the Financial Industry Regulatory Authority addressed a few longstanding issues. First, FINRA proposed expanding the legal options available to investors when filing a claim against an inactive firm or associated person. Second, FINRA requested comments on allowing compensated non-attorney representatives to continue to represent customers in disputes between investors and broker-dealers. Comments on both are due December 18, 2017. In addition, FINRA Executive Vice President of Regulatory Operations Susan Axelrod (at left) offers insight on how FINRA is identifying high risk brokers.

At the CFTC a line has been drawn: the regulator will shift away from focusing on “regulating the last crisis” to ensure that they remain relevant in modern markets. Rather than reacting to market innovation, the CFTC sees a role for itself in advancing and promoting innovation. This new viewpoint was prominently discussed in the first public address of Brian Quintenz, newly sworn in as Commissioner of the CFTC. Mr. Quintenz challenged the entire approach undertaken by his predecessors toward regulating the activity of the sector.

In his first address to the North American Securities Administrators Association (NASAA), newly-elected and third-time President Joseph Borg identified key priorities for his upcoming term. He emphasized cooperation between state and federal regulators and highlighted NASAA’s commitment to strengthened enforcement, technology advancement and cybersecurity. 

Testifying at an oversight hearing before the Senate Banking Committee on September 26, 2017, SEC Chairman Jay Clayton addressed concerns over the SEC’s disclosure of a 2016 cyber-security breach involving its own EDGAR system for corporate filings, as well as the massive breach of the Equifax credit reporting agency database that put in jeopardy the personal information of over 140 million Americans. In response to these cyber incidents, the SEC is planning to utilize its new Cyber Unit, and New York State has propsed regulations that would give its Department of Financial Services the power to oversee credit reporting agencies.

Bates Group today introduced Arbitrator Evaluator™ — an essential information source and analytical tool to streamline and enhance the time-consuming process of identifying, ranking, and selecting arbitrators.

This week, Bates Research sits down with experts Alex Russell and Shane Shook to talk about data analytics and regulatory enforcement, the increasingly complex responsibilities of compliance officers, and what firms should be doing to prepare in this changing technological landscape.

Bates Group is proud to introduce our newest Experts: Bill Jannace, Barry Koch, Bob Kopprasch and Jeff Mazer.