ON THE MONITOR
Does the SEC Need Wiretapping Authority?
March 15, 2010
The Securities and Exchange Commission’s insider trading case against Galleon Group hedge fund is out of the ordinary in at least one respect: It is based in part on the use of wiretaps and recordings of conversations.
This strikes legal experts as unusual for an SEC investigation, since the agency has no wiretapping authority.
“It is unusual,’’ said Robert S. Khuzami, director of enforcement at the SEC, at a November discussion of hedge fund regulation before the Practising Law Institute in New York. But, within a year, he said, “I hope it’s more common.’’
Khuzami noted that the SEC has no wiretapping authority. That belongs to the Justice Department, which has considerable experience in that regard and works closely with the SEC in investigating potentially illegal activity such as insider trading at Galleon.
THE WEEK AHEAD:
MONDAY, MARCH 15
EVENT: Financial Information Management 2010
Through March 17. WB Research. Bridgewaters, New York, NY
TUESDAY, MARCH 16
SPEECH: Andrew J. Donohue, Director, Division of Investment Management
8 a.m., 2010 Mutual Funds and Investment Management Conference, Phoenix
WEBCAST: Maximizing Your Data Asset: New Thinking About Data Quality
Noon, Mark B. Gorman, Principal, Mark B. Gorman & Associates
WEDNESDAY, MARCH 17
WEBCAST: Best Practices in Records Management Compliance
2 p.m., eDiscovery specialist Stephen Whetsone, Iron Mountain
WEBCAST: Examining the Link Between Fed Bank Supervision and Monetary Policy
2 p.m., House Financial Services Committee, 2128 Rayburn House Office Building
THURSDAY, MARCH 18
EVENT: 12th Annual Syndicated Loans Conference
Through March 19. Euromoney, The Royal Horseguards Hotel, London
THE WEEK THAT WAS:
Thomson Reuters Expanding Software Services Pact for Data Center Rollout
HSBC Admits Data Loss, Apologizes to Customers
Morgan Stanley Says SEC Dark Pool Proposal “Too Granular”
Interdealer Broker Tullett Prebon on the Block
UBS to Launch Dark Pool in Europe
CFTC to study high-frequency futures trading
CME May Steer More High-Frequency Traders Toward Risk Controls
CBOE Parent Files $300 Million IPO
