To embed, copy and paste the code into your website or blog: We anticipate a more assertive regulatory enforcement program under the Biden administration, particularly focused on fund managers’ conflicts of interest, advisers’ codes of ethics, and related policies and procedures relating to material nonpublic information. These concerns may be heightened for fund managers participating in bankruptcy proceedings, where competing fiduciary obligations arise, particularly in the context of serving on creditors committees. Outlined below are three primary concerns. Fiduciary Concerns Members of an unsecured creditors committee or other committee in bankruptcy proceedings have fiduciary obligations to other bankruptcy creditors. Because of this, members of bankruptcy committees face greater risks of being charged with fraud. Wherever a fiduciary duty exists, a breach of such duty in connection with a securities transaction may form the basis for criminal charges by the DOJ or an enforcement action by the SEC. The antifraud provisions of the securities laws prohibit devices, schemes, and artifices to defraud in the offer or sale, or in connection with the purchase or sale, of securities. The DOJ can prosecute similar theories under mail fraud, wire fraud, other specific securities fraud statutes or bankruptcy-specific statutes. A breach of a duty, particularly a fiduciary duty, can provide the hook for securities fraud charges under a scheme liability theory;