SEC investigating bank over auction-rate securities sales
Recent Cases
The Bank of New York Mellon Corp. disclosed Friday in its quarterly report that the Securities and Exchange Commission is investigating possible breaches of procedure by one of the bank's subsidiaries in auction-rate securities sales and purchases. Auction-rate securities are long-term bonds with varying interest rates that change based on weekly or monthly auctions. In the report, bank officials wrote:
The Company self-disclosed to the SEC that Mellon Financial Markets LLC placed orders on behalf of issuers to purchase their own Auction Rate Securities. The SEC is conducting an investigation of those transactions. MFM is cooperating fully with the SEC in its investigation.
On Thursday, the SEC agreed to a preliminary settlement with financial firm Citigroup Global Markets, Inc. over the firm's auction-rate securities practices, and Friday the agency entered into a similar settlement with the firm UBS. UBS is also facing a lawsuit filed late last month by New York Attorney General Andrew Cuomo for allegedly misrepresenting auction-rate securities as low-risk despite the actual volatility of such investments.
Related listings
-
Former Bush Assistant Sues over 'Swing Vote'
Recent Cases 08/08/2008Bradley Blakeman, a former member of the Bush administration, claims the movie "Swing Vote" is based on a copyrighted treatment he gave to actor Kelsey Grammer, who passed it along to Disney's Touchstone Pictures without his knowledge or permission. ...
-
'Junior' Gotti Arrested on Murder Charge
Recent Cases 08/05/2008John A. "Junior" Gotti has been arrested on charges linking him to three New York murders, The New York Times reported. He is expected to be indicted on racketeering and murder-conspiracy charges over the killings, which took place nearly two decades...
-
'Trashman' Posted Alarmist Videos, Feds Say
Recent Cases 08/04/2008Anton Dunn, using the alias "Trashman," posted threatening videos on YouTube, in which he claims to have told Gerber employees to poison baby food with the intent to kill millions of black babies, federal prosecutors claim. Dunn has been charged with...
Any contracts or any transactions can go awry at any time
We know your business means a lot to you and want to understand all the aspects of your business so that we can help you in the best ways possible. We don’t discriminate depending on the size of your company. Our mission statement is to represent all business owners and entrepreneurs by navigating them through the rough waters of business litigation and guiding them to success.
We are attorneys who want to make sure we understand your business objectives and goals before we start providing you with legal counsel individualized to your business. We know what it means to be dedicated to your business. After all, we are a business as well. And just like you, we want to provide the best service we can to our clients.
Any contracts or any transactions can go awry at any time. Sometimes, making important business decisions without legal help from business attorneys could cost you your business.We don’t want you or your business to be misconstrued by anyone. Our attorneys make sure that we communicate with you often to make sure we are giving you the legal guidance you need at all times. We make sure we are responsive in a timely-manner with every single one of our clients to help them identify risks and prevent legal battles before they arise.