The Securities and Exchange Commission announced that on November 30, 2012, Timothy S. Durham, former CEO of Ohio-based Fair Finance Company (“Fair Finance”), was sentenced to 50 years in prison for orchestrating a $200 million scheme that defrauded more than 5,000 investors over almost five years. Judge Jane Magnus-Stinson of the United States District Court […]
On November 26 and 29, 2012, the Honorable Reed O’Connor, United States District Judge for the Northern District of Texas, entered final judgments against Alex Dowlatshahi, Christopher Mills, and Robert Wilson, permanently enjoining them and ordering monetary relief. The final judgments against Dowlatshahi and Mills permanently enjoin them from violating Section 10(b) of the Securities […]
In coordination with the federal-state Residential Mortgage-Backed Securities Working Group, the Securities and Exchange Commission today charged J.P. Morgan Securities LLC and affiliated entities with misleading investors in offerings of residential mortgage-backed securities (RMBS). The firm agreed to a settlement in which it will pay $296.9 million. The SEC plans to distribute the money to […]
InvestmentNews reports: The Financial Industry Regulatory Authority Inc. has opened up its arbitration system to registered investment advisers. Finra arbitration has been used in investor or industry complaints involving securities firms and broker-dealers. RIAs now can use the system, according to Linda Feinberg, president of Finra’s office of dispute resolution. Ms. Feinberg disclosed the change […]
An U.S. appeals court has upheld a $1.45 million arbitration award in favor of retired NBA basketball player Horace Grant, who sought reimbursement for losses from risky bond funds that were marketed as safe. The U.S. Court of Appeals for the Ninth Circuit, according to an unpublished decision, rejected claims by Grant’s former brokerage, Morgan […]