US regulators on Tuesday fined nine Wall Street companies, including Wells Fargo, BNP Paribas and Société Générale $549 million over employees’ use of personal messaging apps to discuss deals, trades and other business.
Wells Fargo, BNP Paribas, SocGen, BMO, and Wedbush will pay a further $260 million to the Commodity Futures Trading Commission for similar violations, the regulator said in a separate statement.BNP Paribas agreed to pay a combined $110 million.All nine firms admitted that from at least 2019 their employees often communicated on personal devices using iMessage, WhatsApp and Signal, the SEC said, in what the regulator said was a “pervasive and longstanding” violation of its record-keeping rules.
While it is standard practice at most banks to maintain records of employees’ email communications, firms have struggled to get employees to reliably use approved channels for more spontaneous or casual communications.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:
Business Business Latest News, Business Business Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Regulators fine Wall Street firms $549 million for using WhatsApp and other channels to discuss businessWells Fargo and other Wall Street firms have been fined a total of $549 million for using messaging platforms like WhatsApp and Signal for 'off-channel' communications, violating federal recordkeeping requirements. The Securities and Exchange Commission found widespread and long-standing use of these platforms at Wells Fargo, BNP Paribas, SG Americas, BMO Capital Markets, Mizuho Securities, Houlihan Lokey, Moelis, Wedbush, and SMBC Nikko Securities America.
Source: CNN - 🏆 4. / 95 Read more »
US regulators impose record-keeping fines on more Wall Street firmsU.S. regulators have fined several Wall Street firms a total of $549 million for failing to properly keep records of employees' use of personal text messages and messaging apps. The Securities and Exchange Commission (SEC) launched investigations into investment advisers and broker dealers after announcing similar actions last September. Compliance with record-keeping requirements is crucial for investor protection and market efficiency.
Source: Reuters - 🏆 2. / 97 Read more »