The Nutter Securities Enforcement Update is a periodic summary of noteworthy recent securities enforcement activity, settlements, decisions, and charges.
Not too long ago, a single, small BD experienced a bizarre combination of regulatory overzealousness and regulatory indifference, by the SEC and FINRA, respectively. These things,.
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SEC Loses Jury Trial Against Spartan In Shell Factory Case
Law360 (August 2, 2021, 7:36 PM EDT) A Florida federal jury on Friday largely rejected the U.S. Securities and Exchange Commission s allegations that Spartan Securities Group Ltd. was complicit in a scheme to create sham companies and fraudulently sell their stock on over-the-counter markets.
Following a 13-day trial in Tampa, the jury cleared broker-dealer Spartan, its transfer agent Island Capital Management and the firms owners Carl Dilley and Micah Eldred, along with fellow Spartan owner David Lopez, of a dozen claimsthat they aided and abetted a plot that prosecutors dubbed the Shell Factory Fraud.
Jury Trial Begins in Case Challenging SEC’s Arbitrary Expansion of Rules for Securities Companies
U.S. Securities and Exchange Commission v. Spartan Securities Group, LTD., et al.
Washington, D.C., July 13, 2021 (GLOBE NEWSWIRE) The jury trial has begun in
U.S. Securities and Exchange Commission v. Spartan Securities Group, LTD., et al. in the District Court for the Middle District of Florida before Judge Virginia Hernandez Covington. The New Civil Liberties Alliance, a nonpartisan, nonprofit civil liberties group, will argue that SEC is rewriting the rules and seeking to unlawfully enforce agency guidance against NCLA clients Spartan Securities Group, LTD., Island Capital Management LLC, Carl E. Dilley, Micah J. Eldred, and David D. Lopez.