SEC Charges Firm with Systemic Compliance Failures

The SEC charged Barclays Capital Inc. ("Barclays") with failing to maintain an adequate internal compliance system to ensure the firm did not violate federal securities laws after its U.S. wealth management business acquired the advisory business of Lehman Brothers in September 2008.

According to the SEC, an examination and subsequent investigation found that Barclays failed to enhance its compliance infrastructure to integrate and support the acquisition and "rapid growth" of the advisory business from Lehman. The SEC stated that deficiencies in Barclays' compliance system contributed to other security law violations at the firm.

See: SEC Order; SEC Press Release.