News & Events –

Bates Group is a proud Bronze sponsor of the New York State Bar Association Women In Law Section (WILS) 19th Annual Edith I. Spivack Symposium and Kay Crawford Murray Memorial Award Luncheon. This two-day event will be held Thursday, January 19 and Friday, January 20, 2023, during the NYSBA Annual Meeting.

All New York banking organizations—and all New York licensed branches and agencies of foreign banking organizations—must get approval from the New York State Department of Financial Services prior to engaging in virtual currency-related activity. The NYDFS clarified its expectations on that requirement in an industry guidance letter dated December 15, 2022. Bates has the details in a new article.

Banks are quickly realizing that it’s time to embrace crypto customers. With the rise of digital banking, more people are choosing to store their funds in cryptocurrencies, and banks need to be able to accept these customers as part of their services. Here, we look at the important considerations that banks should make as they begin to accept cryptocurrency customers. 

FINRA has announced the publication of the 2023 Report on FINRA's Examination and Risk Monitoring Program. The comprehensive report from FINRA’s regulatory operations covers 24 topics relevant to the evolving securities industry. Additionally, the report introduces a new Financial Crimes section highlighting FINRA’s increased focus on protecting investors and safeguarding market integrity against these ongoing threats. Stay tuned for our annual commentary, coming soon, on FINRA’s 2023 objectives and how they may impact your legal, regulatory and compliance matters.

Beginning in August 2021, FINRA examined firms to assess the sufficiency of their practices and controls over options accounts. FINRA just issued an update based on the results, including new guidance on what they want you to consider in order to enhance your supervision and revise your compliance programs.

Bates Managing Director Brandi Reynolds, BSA/AML Compliance, MSBs, FinTech, and Virtual Assets, is featured in the latest issue of CrossTech Magazine. Read online now!

The SEC Divison of Examinations and Office of Investor Education and Advocacy have both issued recent alerts about protecting investors from identity theft. The first alert was issued because recent firm examinations revealed practices “inconsistent” with Regulation S-ID (Identity Theft Red Flag Rules). Here is an overview of both recent alerts.

The SEC recently held a National Seminar on compliance for investment advisers and investment company senior officers. Of the many important panels at the day-long seminar, one was devoted to the SEC’s expectations on investment adviser compliance with ESG requirements. A week later, on November 22, 2022, the regulator announced a $4 million settlement with a large investment adviser for ESG-related compliance failures. Read our new article with takeaways from the seminar, which covered SEC exam concerns, an ESG disclosure proposal update, recent enforcement activity, and a CCO’s advice on ESG compliance.

Join Bates Group Senior BSA/AML/OFAC Consultant John Ashley and other industry-leading voices for a webinar on December 15 to learn about the biggest financial fraud trends for 2022 and our predictions for where fraud is headed in 2023.

In its annual report of legal actions taken in FY2022 (ending September 30), the SEC noted its “robust enforcement” efforts to “impose penalties designed to deter future violations, establish accountability from major institutions, and order tailored undertakings that provide potential roadmaps for compliance by other firms.” The numbers bear out just how robust SEC enforcement efforts have been. In this article, Bates takes a look at the details in the new report.

Join FSDA President and Bates Group CEO Jennifer Stout at the FSDA-SIFMA C&L Forum in St. Petersburg, Florida. Sponsored by Raymond James. Jennifer is the featured speaker at the 10:00 a.m. fireside chat, moderated by SIFMA EVP/GC Saima Ahmed.

Join Bates Group and NICE Actimize when we discuss “Reg BI Compliance: What You Need to Know to Stay Ahead.” Featuring Bates Compliance Managing Director Rhonda Davis, JD, CAMS, CFE (pictured). Friday, December 9, 2022 at 1 p.m. ET/10 a.m. PT.

Regulatory and enforcement activity has been brisk since nine federal agencies issued a “Comprehensive Framework for Responsible Development of Digital Assets” in response to President Biden’s Executive Order to collaborate on a “whole of government approach.” 

FINRA has remained focused on ensuring that eligible customers received Rights of Reinstatement (“ROR”) benefits where appropriate. Just recently, we were retained by another large firm looking to leverage the depth of our experience gained through many engagements assisting our clients with Rights of Reinstatement issues since the targeted examination announcement in 2020. Contact Bates today if you are facing a FINRA inquiry or other action or need to update your policies and procedures.

Since President Biden issued an Executive Order in March 2002 directing agencies to collaborate on a “whole of government approach” for ensuring the responsible development of digital assets, the market has been anticipating the release of the broader framework. The Framework, issued on September 16, 2022, remains a high-level mix of broad directives by nine separate federal agencies which support these goals. Bates has the highlights.

Bates Expert Partick Cox (pictured) will be speaking on the Cybersecurity panel at this year's Securities Industry Symposium, November 16, 2022. Sponsored by Greensfelder, Hemker & Gale, P.C. and the Bar Association of Metropolitan St. Louis.