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What Fund Managers Should Know About 2022 SEC Enforcement

SEC Division of Enforcement announced Enforcement Results for Fiscal Year 2022 with a few key takeaways for fund managers: Commission brought 760 enforcement actions in FY 2022, set record on disgorgement and penalties, took ongoing action against private fund advisers.

SEC Finds Deficiencies in Investment Advisor MNPI Compliance

In a Risk Alert the staff of the Division of Examinations of the Securities and Exchange Commission SEC described notable deficiencies relating to investment advisers’ use of material non-public information MNPI stemming from Section 204A of Investment Advisers Act of 1940.

SEC Awarded Three Whistleblowers a Combined $40 Million

October 15, U.S. Securities and Exchange Commission SEC announced whistleblower awards totaling over $40 million, relating to two separate enforcement actions, issued to 3 whistleblowers who each voluntarily provided original information that led to a successful enforcement action.

Under Armour Settles with SEC Regarding Gaps in Quarterly Revenues

Advertisement Under Armour, Inc. Settles Securities and Exchange Commission Enforcement Action Targeting Undisclosed Practice of Pulling Sales Forward to Obscure Gaps in Projected Quarterly Revenues Friday, June 4, 2021 On May 3, 2021, the Securities Exchange Commission ( S.E.C. ) announced that sports apparel heavyweight Under Armour, Inc. (“Under Armour”) will pay a $9 million dollar penalty to the S.E.C. to settle an enforcement action for alleged antifraud violations of the Securities Act of 1933 as well as reporting violations under federal securities laws following charges that Under Armour misled investors regarding its annual revenue growth and failed to disclose uncertainties in its future revenue projections to investors.

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