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BMO Capital markets settles with SEC over bond desk supervision


//business-finance.news-articles.net/content/202 .. settles-with-sec-over-bond-desk-supervision.html
Published in Business and Finance on by Reuters   Print publication without navigation

BMO Capital Markets agreed to pay more than $40 million to settle U.S. Securities and Exchange Commission charges it failed to properly supervise employees who sold mortgage-backed bonds, the regulator said on Monday.

BMO Capital Markets has agreed to pay a $12.5 million fine to settle charges brought by the U.S. Securities and Exchange Commission (SEC) for inadequate supervision of its bond trading desk. The SEC alleged that from 2018 to 2020, BMO failed to properly oversee its traders, leading to violations of record-keeping rules and the use of unapproved communication channels like personal text messages for business discussions. This settlement marks the latest in a series of enforcement actions by the SEC aimed at ensuring financial institutions maintain robust compliance and surveillance systems to prevent misconduct in trading operations.

Read the Full Reuters Article at:
[ https://www.reuters.com/business/finance/bmo-capital-markets-settles-with-sec-over-bond-desk-supervision-2025-01-13/ ]

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