Eighteen distinguished professors of bankruptcy and corporate law expressed concern that a "proposed omnibus appropriations rider" could amend the Trust Indenture Act of 1939 ("TIA") "without any legislative hearings or opportunity for public comment." In a letter addressed to Senate and House leadership, the professors argued that the "hasty amendment of the Trust Indenture Act could have broad negative unintended consequences in the securities markets." Provisions of the TIA are intended to protect bond investors, they argue "by requiring any restructuring of bonds to occur subject to the
The SEC has announced that, on February 11, 2013, the U.S. District Court for the Southern District of New York entered default judgments against Sean David Morton, who bills himself as "America's Prophet," his wife, and various corporate shell entities. In addition to ordering permanent injunctions from violating antifraud and registration statutes and rule, the defendants were ordered to disgorge, jointly and severally, a total of $11,533,382.18. Relief defendants Melissa Morton and the Prophecy Research Institute, the Mortons' nonprofit religious organization, were ordered to disgorge a
The Federal Reserve Board's ("FRB") "clean holding company" requirements - which apply to the eight U.S. globally systemically important banks and the U.S. intermediate holding companies of the largest foreign banks operating in the United States - became effective on January 1, 2019. The requirements are applicable only to the legal entity that is the top-tier U.S. holding company and do not apply to its affiliates or subsidiaries. According to the final rule adopted by the FRB, covered holding companies generally are barred from: issuing guarantees of a subsidiary's liabilities with cross
Mercatus on Policy published a policy brief, by American Enterprise Institute scholar James K. Glassman and Mercatus Center scholar Hester Peirce , that outlines the regulations that give power to proxy advisory firms, discusses the nature and adverse consequences of that power, and offers suggestions for reform. The policy brief discusses the two major firms that dominate the proxy advisory industry and concludes that the firms' power derives from growth in the proportion of shares owned by institutions, the growing number of proxy votes, and the regulatory push toward reliance on outside
A firm operating as a "market center" settled FINRA charges for under-reporting "covered orders" in contravention of SEC disclosure requirements on order execution.