Article: FICO Survey Finds UK Banks Struggled With Covid-19 Financial Crime Surge

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FICO Survey Finds UK Banks Struggled With Covid-19 Financial Crime Surge

Polly Jean Harrison, 10 April 2021

As cases of fraud and money laundering rose during the pandemic last year, banks in the UK faced unforeseen challenges. In a new study by global analytics software provider FICO and independent research firm OMDIA, 79 per cent of respondents from UK banks said that working from home had a high or major impact on the effectiveness of their financial crime prevention.

“Just as the pandemic put huge stresses on the health care system, it put huge stresses on fraud and financial crime management teams,” explained Toby Carlin, senior director for fraud consulting at FICO. “Teams that collaborate in person and work with large software systems that have restricted access found that working from home hurt their productivity. This was compounded as the volume of fraud attacks rose.” Continue reading “Article: FICO Survey Finds UK Banks Struggled With Covid-19 Financial Crime Surge”

Article: Mirror Trading International Named Biggest Crypto Scam of the Year After Raking in $589 Million – Regulation Bitcoin News

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Mirror Trading International Named Biggest Crypto Scam of the Year After Raking in $589 Million – Regulation Bitcoin News

Mark Viduka, 05 April 2021

Blockchain evaluation agency, Chainalysis’ newest crime report has named Mirror Buying and selling Worldwide (MTI) as the largest cryptocurrency rip-off of 2020. Chainalysis arrived at this conclusion after an investigation discovered that MTI had taken in $589 million from greater than 471,000 deposits. In line with the report, MTI’s haul is considerably greater than that of Forsage and J-enco, the following greatest scams. Each scams raked in lower than $350 million every. Continue reading “Article: Mirror Trading International Named Biggest Crypto Scam of the Year After Raking in $589 Million – Regulation Bitcoin News”

Article: Who (Almost) Killed Home Capital Group?

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Who (Almost) Killed Home Capital Group?

Featured Posts, Investments, 02 April 2021

I am still coming to terms with the collapse in shares of Home Capital. It wasn’t supposed to play out this way. The Canadian alternative mortgage lender saw its shares fall from an all-time high of $54.86 in August of 2014 to a low of $5.85 in May of 2017. At the time, I was working as an analyst at one of Canada’s largest asset managers. I spent 2014 and 2015 following only the Canadian banking sector. I saw the events at Home Capital up close.

The company was in the crosshairs of short sellers for years prior to its 2017 crisis. As an alternative lender in Canada’s frothy housing market, many shorts saw parallels between Home Capital and some of the worst-performing American subprime lenders. Steve Eisman, made famous in Michael Lewis’ The Big Short for his success betting against the US subprime bubble, was one of the first to come out publicly as a bear on Home Capital in 2013. And from there the criticisms continued for years. Continue reading “Article: Who (Almost) Killed Home Capital Group?”

Article: Market Manipulation: Alberta Securities Commission clamps down on pump and dump scheme

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Market Manipulation: Alberta Securities Commission clamps down on pump and dump scheme

Lawrence E. Ritchie, Tristram Mallett, Devon Luca, 23 March 2021

The Alberta Securities Commission (the “ASC”) recently issued its reasons in Re Kilimanjaro Capital Ltd., 2021 ABASC 14 (the “Decision”). The ASC concluded the control person of Kilimanjaro Capital Ltd. (“Kilimanjaro”), Ashmit Patel, engaged in, among other things, market manipulating conduct intended artificially to inflate Kilimanjaro’s share price so that he could profit.

The Decision highlights the extensive cross-border cooperation between the United States Security and Exchange Commission (the “SEC”) and Canadian Securities Administrators (“CSAs”). The Decision also strengthens the existing legal framework relating to misleading promotional materials. As we have written previously, regulators are grappling with how to regulate an evolving market in which information posted on social media can significantly influence market valuations. The Decision lays useful groundwork that can be used to regulate legitimate trading practices used for improper purposes.

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Article: Meme stocks loom large in the CSA’s short-selling review

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Meme stocks loom large in the CSA’s short-selling review

James Langton, 22 March 2021

When a group of retail traders used Reddit to gleefully gang up on a handful of hedge funds in January, giving birth to the concept of “meme” stocks, they cranked up an already simmering debate about proper public discourse related to trading. In Canada, a consultation regarding activist short-sellers is the focus of that debate.

Late last year, the Canadian Securities Administrators (CSA) published a consultation paper on the role and regulation of activist short-sellers — traders who publicly air their negative views on the stocks they’re shorting.

Defenders of the practice maintain that vocal short-sellers are the only thing standing between unrelenting upside hype and ordinary investors — i.e., their skepticism and scrutiny help expose corporate fraud and misconduct, aiding naive regulators and investors alike. Continue reading “Article: Meme stocks loom large in the CSA’s short-selling review”

Article: A long list of Anson short positions.Good post on Stockhouse here

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A long list of Anson short positions.Good post on Stockhouse here

u/Rubarbarbara, Reddit, 17 March 2021

I have the full post below:We all know how the dirty rats at Anson Funds work. Wash trading, down ticking, spoofing among a host of other dirty tricks the banks let them get away with.

Then we have their army of social media bashers, their relationships with Nate Anderson at Hindenburg Research, Ben Axler at Sprucepoint Capital Management and Andrew Left at Citron Research, amongst many others. All of them in the pay of Moez and Anson Funds.

All working together to destroy companies and profit off their illegal deals.

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Alleged RCMP mole accused of selling secrets to kingpin money launderer and terror-financier’s network

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Alleged RCMP mole accused of selling secrets to kingpin money launderer and terror-financier’s network

Sam Cooper, Global News, 14 January 2021

In October 2014, Canadian intelligence leaders were invited to the U.S. Drug Enforcement Administration’s headquarters in Chantilly, Va. The DEA had a theory: the upper echelons of global money laundering, terrorism, drug-trafficking and organized crime all bleed together. And only a handful of men in this murky world of extremely powerful criminals had organizations capable of laundering more than $10 billion annually. Continue reading “Alleged RCMP mole accused of selling secrets to kingpin money launderer and terror-financier’s network”

Filing: SEC VS. CORMARK SECURITIES INC.,

Filing, Publications

SEC VS. CORMARK SECURITIES INC.,

21 December 2020

These proceedings concern Cormark’s role in repeatedly causing a U.S. executing broker (the “Executing Broker”) to violate the order-marking and locate requirements of Regulation SHO of the Exchange Act.

From August 2016 to October 2017 (the “relevant period”), Cormark entered more than 200 sale orders for a hedge fund customer (the “Hedge Fund”) into an intermediary broker’s execution management system as “long” orders.2 At the time these orders were entered, the Hedge Fund was not “deemed to own” the stock being sold and did not have a net long position in the stock. Thus, the orders should have been marked as “short” sales under Regulation SHO. The intermediary broker, ITG Canada Corp. (“ITG Canada”), routed the sale orders, with the incorrect order-marking information provided by Cormark, to the Executing Broker, which in turn executed the orders as “long” sales on U.S. exchanges. As a result, Cormark caused the Executing Broker to mismark sale orders as “long,” in violation of Rule 200(g) of Regulation SHO.

PDF (8 pages): SEC VS. CORMARK SECURITIES INC.,

 

Article: Collusion with Trump over Russia inquiry ‘did not happen’, says Raab

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Collusion with Trump over Russia inquiry ‘did not happen’, says Raab

Patrick Wintour, 02 October 2019

No member of the British government, including the prime minister, would ever collude with Donald Trump to try to discredit the work of intelligence agencies uncovering Russian interference in the 2016 US election, the UK foreign secretary said.

Dominic Raab told the Commons that “any such collusion is entirely unacceptable, would never happen, and did not happen”.

The foreign secretary refused to say at prime minister’s questions whether Boris Johnson, or his predecessor, Theresa May, had spoken to the US president about any request to cooperate with the inquiry he had ordered into how the US intelligence agencies handled claims that Russia colluded with the Trump presidential campaign in 2016.

The collusion claim led to the lengthy report by Robert Mueller, which showed that Russia was attempting to swing the presidential election in favour of Trump but did not say whether there had been collusion between Russia and Trump.

Raab was asked whether, as reported in the Times, Trump had personally contacted Johnson to ask him to cooperate with the US inquiry.

The Labour MP Ben Bradshaw implied that the purpose of any Trump request might be “to undermine or smear British intelligence services, as well as damage cooperation with their US colleagues”.

Raab, deputising for Johnson at prime minister’s questions, said: “Neither the prime minister or, as then, the foreign secretary, would collude in the way that he described. That is entirely unacceptable and would never happen and did not happen.”

It is noticeable that the British government has been less willing than either the Australian or Italian governments to give details of help given to Trump’s inquiry into the role of the US intelligence services.

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