Financial Markets and Funds Partner Nathaniel Lalone spoke with Law360 regarding the Financial Conduct Authority's (FCA) proposal to publicly identify firms it investigates when doing so is "in the public interest." The move is supposed to assure the public that it is "on the case" while deterring bad actors. Nate noted that the move would be out of step with the Securities and Exchange Commission's (SEC) Wells process that maintains confidentiality until late in the process to encourage the exchange of information during an investigation. He stated, "These arrangements certainly have not harmed the SEC's reputation for vigorous enforcement of the US federal securities laws. To the extent that the FCA is trying to 'level up' to match the SEC's reputation, the proposed policy on premature disclosure of investigations would not seem to be the best way to go about that."
"FCA Plan To Name Suspect Firms Early Alarms Finance Sector," Law360, February 29, 2024
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