On September 25, 2023, the Securities and Exchange Commission announced settled cease-and-desist charges against GTT Communications, Inc. (“GTT”), a formerly publicly-traded multinational telecommunications and internet service provider company. The SEC charged GTT with failing to disclose material information regarding unsupported
Cleary Enforcement Watch
News and Analysis Related to Global Enforcement, White-Collar, and Regulatory Trends and Developments
Cleary Enforcement Watch, published by Cleary Gottlieb Steen & Hamilton LLP, focuses on enforcement developments and regulatory updates primarily in the areas of securities regulation, white-collar defense, and national security law. The blog covers topics such as SEC examination priorities, DOJ enforcement policies including sanctions and export controls, voluntary self-disclosure frameworks in mergers and acquisitions, and evolving criminal enforcement strategies. It also addresses issues related to cybersecurity, emerging technologies like artificial intelligence, compliance programs, and international trade controls. The content is aimed at legal professionals and corporate clients seeking insights into enforcement trends and government investigations.
Latest from Cleary Enforcement Watch - Page 8
DOJ Announces Additional Guidance on Voluntary Self-Disclosure in M&A Context
At the September 21, 2023 Conference of the Global Investigations Review, Principal Associate Deputy Attorney General Marshall Miller announced actions by the Department of Justice (“DOJ”) to further incentivize companies engaged in M&A to prioritize compliance. Miller affirmed that “acquiring…
U.S. District Court Tosses FIFA Bribery Convictions, Finding Honest Services Statute Does Not Reach Foreign Commercial Bribery
On September 1, 2023, U.S. District Judge Pamela K. Chen of the Eastern District of New York granted a judgment of acquittal in the latest FIFA bribery prosecution, holding that the federal honest services statute, 18 U.S.C. § 1346, does…
SEC Risk Alert on Examinations: Who Gets Examined and Scope of Exams
On September 6th, the SEC Division of Examinations (the “Division”) published a risk alert with more detail on how it selects investment advisers for examinations and its process for determining the specific risk areas and issues to address in examination. …
Italian Transposition of the Omnibus Directive: the Reform in Pills
Faced with the new challenges of a changing market, developing digital platforms and the consequential rise of new online commerce practice, the European Union (“EU”) has strengthened its current legislation on consumer protection.…
Fund Rules Dampened, Not Defanged: SEC’s final private fund rules drop proposed bans on certain activities, but still have bite.
On August 23, 2023, the U.S. Securities and Exchange Commission (“SEC”) adopted new rules under the Investment Advisers Act of 1940 (the “Advisers Act”) that will significantly impact private fund advisers (the “Final Rules”). Although the Final Rules abandoned most…
New SEC Disclosure Rules for Cybersecurity Incidents and Governance and Key Takeaways
On July 26, 2023, the U.S. Securities and Exchange Commission (the “SEC” or “Commission”) adopted rules to enhance and standardize disclosure requirements related to cybersecurity incident reporting and cybersecurity risk management, strategy, and governance.…
DOJ, Commerce, and Treasury Issue Advisory on Voluntary Self-Disclosure Policies
On July 26, 2023, the U.S. Department of Justice’s National Security Division, the U.S. Department of Commerce’s Bureau of Industry and Security, and the U.S. Department of the Treasury’s Office of Foreign Assets Control jointly issued a compliance note summarizing…
SEC Proposes Rules Limiting the Use of Artificial Intelligence by Registered Investment Advisers and Broker-Dealers
On July 26, 2023, the Securities and Exchange Commission (“SEC”) proposed new rules targeting the use of predictive data analytics and artificial intelligence (“AI”) by registered investment advisers (“RIAs”) and broker-dealers.[1] The new proposed rules focus on the…
Managing U.S. Enforcement and Civil Risks Relating to ESG Issues: Greenwashing
Companies face new pressures relating to the potential environmental impact of their products and services. In recent years, ESG has become a focal point about how companies conduct their business and there has been an increase in pledges to reduce…