SEC’s Leans on Whistleblower in Deutsche Bank Securities Probe
- The SEC is being aided by a whistleblower who helped bring to light allegations of Deutsche Bank's mortgage bond endeavors.
The US Securities and Exchange Commission (SEC) has been relying as of late on a number of whistleblowers to help provide key tips in its investigations. Presently, the regulator is being assisted by a Whistleblower Whistleblower A whistleblower is an individual who manages to provide information or activity within a private or public organization that is deemed illegal, unethical, or not correct. In many countries, including the United States, whistleblowers are protected by law and in some cases can even recoup rewards if their information leads to successful prosecution.In the context of the financial services industry, whistleblowers play a large role in oversight, helping unmask several episodes of illicit behavior A whistleblower is an individual who manages to provide information or activity within a private or public organization that is deemed illegal, unethical, or not correct. In many countries, including the United States, whistleblowers are protected by law and in some cases can even recoup rewards if their information leads to successful prosecution.In the context of the financial services industry, whistleblowers play a large role in oversight, helping unmask several episodes of illicit behavior Read this Term in an ongoing investigation of Deutsche Bank AG’s post-crisis mortgage-trading business, which dates back to 2007.
The new world of Online Trading Online Trading Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Read this Term, fintech and marketing – register now for the Finance Magnates Tel Aviv Conference, June 29th 2016.
The SEC’s whistleblower program launched back in 2011 and has since rewarded individuals for tips that are instrumental in investigations or bringing parties to justice. Since 2011, the program has rewarded a total of $85 million to 32 individuals, which averages out to almost $19 million per annum. Yesterday, the SEC announced a $17 million reward as a further incentive to entice former employees to come out and provide information.
The nature of its present investigation with Deutsche Bank stemmed from a whistleblower complaint previously that had alleged that the lender was inflating the value of mortgage bonds on its books, whilst masking losses, according to a recent Bloomberg report. As such, the SEC has opened up a probe of Deutsche Bank’s bonds business, which includes how the group valued government-backed mortgage bonds, known as agency pass-through securities, since 2007, the height of the US financial crisis.
In particular, the SEC’s investigative team is eyeing positions overlooked by former employee Troy Dixon, an individual who at the time ran Deutsche Bank’s trading of US mortgage bonds – he parted ways with the group back in 2013, according to a Bloomberg report.
Deutsche Bank had previously faced a number of woes in this space, which in 2013 resulted in the loss of nearly $500 million across its agency pass-through securities. Despite the allegations however, Deutsche Bank has been cooperating with the SEC’s investigation. The investigation is still ongoing however, as Finance Magnates will update the legal situation as it develops.
The US Securities and Exchange Commission (SEC) has been relying as of late on a number of whistleblowers to help provide key tips in its investigations. Presently, the regulator is being assisted by a Whistleblower Whistleblower A whistleblower is an individual who manages to provide information or activity within a private or public organization that is deemed illegal, unethical, or not correct. In many countries, including the United States, whistleblowers are protected by law and in some cases can even recoup rewards if their information leads to successful prosecution.In the context of the financial services industry, whistleblowers play a large role in oversight, helping unmask several episodes of illicit behavior A whistleblower is an individual who manages to provide information or activity within a private or public organization that is deemed illegal, unethical, or not correct. In many countries, including the United States, whistleblowers are protected by law and in some cases can even recoup rewards if their information leads to successful prosecution.In the context of the financial services industry, whistleblowers play a large role in oversight, helping unmask several episodes of illicit behavior Read this Term in an ongoing investigation of Deutsche Bank AG’s post-crisis mortgage-trading business, which dates back to 2007.
The new world of Online Trading Online Trading Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Online trading represents the trading of fiat currencies, digital currencies, commodities, stocks and indices, where traders and investors intend to make a profit, via the purchase or sale of the aforementioned products. This is done through an electronic network, made accessible by brokers in the form of an online trading platform or hub.Online trading continues to see a rapid growth year on year, due to a number of reasons. Firstly, the number of brokers offering their services, with more mone Read this Term, fintech and marketing – register now for the Finance Magnates Tel Aviv Conference, June 29th 2016.
The SEC’s whistleblower program launched back in 2011 and has since rewarded individuals for tips that are instrumental in investigations or bringing parties to justice. Since 2011, the program has rewarded a total of $85 million to 32 individuals, which averages out to almost $19 million per annum. Yesterday, the SEC announced a $17 million reward as a further incentive to entice former employees to come out and provide information.
The nature of its present investigation with Deutsche Bank stemmed from a whistleblower complaint previously that had alleged that the lender was inflating the value of mortgage bonds on its books, whilst masking losses, according to a recent Bloomberg report. As such, the SEC has opened up a probe of Deutsche Bank’s bonds business, which includes how the group valued government-backed mortgage bonds, known as agency pass-through securities, since 2007, the height of the US financial crisis.
In particular, the SEC’s investigative team is eyeing positions overlooked by former employee Troy Dixon, an individual who at the time ran Deutsche Bank’s trading of US mortgage bonds – he parted ways with the group back in 2013, according to a Bloomberg report.
Deutsche Bank had previously faced a number of woes in this space, which in 2013 resulted in the loss of nearly $500 million across its agency pass-through securities. Despite the allegations however, Deutsche Bank has been cooperating with the SEC’s investigation. The investigation is still ongoing however, as Finance Magnates will update the legal situation as it develops.