Robinhood is reportedly under SEC investigation, could pay $10 million fine

CNBC

Popular trading platform Robinhood is under investigation related to its disclosures around its practice of selling clients’ orders to high-frequency traders, the Wall Street Journal reported Wednesday.

The Securities and Exchange Commission’s probe into the Silicon Valley start-up is at an advanced stage and could result in a fine of more than $10 million if the company agrees to settle, the Journal reported, citing people familiar with the matter. read more »

SEC Charges Fund Manager for Fraud in Securities Offering in Neiman Marcus Bankruptcy

SEC

The Securities and Exchange Commission today charged Daniel Kamensky, co-chair of the unsecured creditors committee in the Neiman Marcus Group Ltd. LLC Chapter 11 bankruptcy proceedings, with abusing his position on the committee to attempt to benefit a New York-based management firm that he founded and where he served as Managing Partner and Portfolio Manager.

As co-chair of the unsecured creditors committee, Kamensky acted as a fiduciary to all unsecured creditors. The SEC's complaint alleges that Kamensky sought to take advantage of his role on the committee to manipulate a bidding process to the benefit the portfolio he managed, and at the expense of the unsecured creditors. read more »

Pennsylvania Medicare Advantage Plan Provider Agrees to Pay $2.25M to Resolve Allegations of Inflated Plan Bids

DOJ

This settlement resolved a lawsuit filed under the False Claims Act in the U.S. District Court for the Eastern District of Pennsylvania by an employee of Independence Blue Cross, LLC. Under the qui tam (or whistleblower) provisions of the False Claims Act, private citizens are permitted to bring lawsuits on behalf of the United States and obtain a portion of the government’s recovery. The False Claims Act also permits the government to intervene and take over the lawsuit, which occurred in this case. The whistleblower in this case, Mr. Eric Johnson, will receive $499,438.05 as his share of the recovery. read more »