Whistleblower News: Ticket Scam, Citibank, SEC11/08/2018
Former sports talk host Craig Carton convicted in multi-million-dollar ticket scam
Carton was part of running a Ponzi scheme by getting investors to give them money for a fake discount ticket brokerage before using the cash to pay gambling-related debts, prosecutors said.
He faces up to 45 years behind bars. read more »
Citibank to Pay More Than $38 Million for Improper Handling of ADRs
The Securities and Exchange Commission today announced that Citibank N.A. has agreed to pay $38.7 million to settle charges of improper handling of “pre-released” American Depositary Receipts (ADRs).
ADRs – U.S. securities that represent foreign shares of a foreign company – require a corresponding number of foreign shares to be held in custody at a depositary bank. The practice of “pre-release” allows ADRs to be issued without the deposit of foreign shares provided brokers receiving them have an agreement with a depositary bank and the broker or its customer owns the number of foreign shares that corresponds to the number of shares the ADR represents. read more »
SEC Charges ITG With Misleading Dark Pool Subscribers
The Securities and Exchange Commission today announced that ITG Inc. and its affiliate AlterNet Securities Inc. have agreed to pay $12 million to settle charges arising from ITG’s misstatements and omissions about the operation of the firm’s dark pool, POSIT, and ITG’s failure to establish adequate safeguards and procedures to protect POSIT subscribers’ confidential trading information. read more »