Two affiliated broker-dealers settled FINRA charges for lacking reasonable cybersecurity controls at branch offices. The failures resulted in multiple incidents that exposed thousands of customers' personal information.
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An investment adviser settled charges with the SEC for failing to timely disclose the adviser's "control" purpose, with respect to an issuer whose shares it had acquired for the account of a hedge fund that it managed.
SEC Chair Gary Gensler asserted that the agency "takes its cybersecurity obligations seriously" and that Commission staff recognize that the recent hack of the SEC's "X" account by an unauthorized party raises "concerns about the security of the SEC's social media accounts."
House Financial Services Committee Chair Patrick McHenry demanded that the SEC explain the breach of its X (Twitter) account that resulted in a false post stating that Bitcoin ETFs were approved to be listed on all registered national securities exchanges.
Director of the SEC Division of Corporation Finance Erik Gerding highlighted the rationale and mechanics behind the SEC's new rules on disclosure of cybersecurity policies and related incidents.