CFTC Commissioner J. Christopher Giancarlo opposes the current draft of Regulation AT.(See .) Given his strong position on the matter, and the universal opposition of buyers and sellers to it, Regulation AT, as proposed, is effectively dead. Even if the proposal was taken up by the current CFTC and forced through by a two-to-one vote, the regulation could be overturned easily by the new Congress pursuant to the .

Whether they involve swaps or equities, the number of trade reporting violations that result from technology issues is substantial. When reporting technology goes wrong, trade reporting violations can multiply quickly until they reach a fantastic amount (followed by commensurate regulatory fines). Accordingly, it makes sense for firms to institute regular auditing processes in order to confirm that trade reporting is working as expected.

This is the second significant enforcement action that the SEC has brought against a firm for illegally entering into or arranging security-based swaps with retail investors. (See also .) The second action is as troubling as the first, but not because the charged party might have been undeserving of sanction. It is troubling because the violation was not primarily the act of selling swaps to unsophisticated investors. In the previous case, the real crime was that the swaps company had…

This is one of several insider trading enforcement actions brought recently against IT personnel (see, e.g., ). Accordingly, issuers of all types – not just financial firms – need to give consideration as to how to best limit access to confidential information by IT personnel.