Defendant Name: BNY Mellon Securities LLC

Defendant Type: Subsidiary of Public Company
Public Company Parent: Bank of New York Mellon Corporation
SIC Code: 6022
CUSIP: 06405810

Initial Case Details

Legal Case Name In the Matter of BNY Mellon Securities
First Document Date 14-Jan-2011
Initial Filing Format Administrative Action
File Number 3-14191
Allegation Type Broker Dealer

Violations Alleged

Securities Act
Sec 17(a) (Not specified)
Section 15(b)(4)(E) Exchange Act


First Resolution Date 14-Jan-2011
Headline Total Penalty and Disgorgement

See Related Documents

Related Documents:

34-63724 14-Jan-2011 Administrative Proceeding
Order Instituting Administrative Proceedings Pursuant to Section 15(b) of the Securities Exchange Act of 1934, Making Findings, and Imposing Remedial Sanctions
On January 14, 2011, the SEC filed a settled administrative proceeding against BNY Mellon Securities LLC. According to the SEC: "These proceedings arise out of Respondent's failure reasonably to supervise the order desk manager on its institutional order desk and traders under his supervision from November 1999 through March 2008."
34-63938 22-Feb-2011 Administrative Proceeding
Order Appointing Tax Administrator
On February 22, 2011, the SEC appointed Damasco and Associates LLP to serve as the Tax Administrator for the Qualified Settlement Fund in this proceeding.
33-9215 02-Jun-2011 Administrative Proceeding
Order Granting Extension of Time to Submit Proposed Plan of Distribution
On June 2, 2011, the Commission granted the Division of Enforcement's requests for an extension of time until March 28, 2012 to submit a proposed plan of distribution.
34-66700 30-Mar-2012 Administrative Proceeding
Extension Order
On March 30, 2012, the Commission granted the Division of Enforcement's request for an extension of time until May 29, 2012 to submit a proposed plan of distribution.
34-68796 31-Jan-2013 Administrative Proceeding
Notice of Proposed Plan of Distribution and Opportunity for Comment
On January 31, 2013, the SEC gave notice of the proposed plan of distribution and opportunity for comment. According to the SEC: "The Distribution Plan provides for the distribution of monies to customers of BNY Mellon Securities LLC ('Mellon Securities') harmed by: (a) Mellon Securities' failure reasonably to supervise, from November 1999 through March 2008, the manager on its institutional order desk, Mark Shaw; and (b) Shaw's best execution fraud, in which he manipulated time delays in systems for executing agency cross trades on a regional exchange to advantage a handful of accounts held by individuals and hedge funds at the expense of accounts belonging to various employee stock purchase plans, employee stock option plans, direct purchase and sale plans, and similar plans (collectively, 'Plan Customers'), and directed traders under his supervision to do the same."
34-71638 28-Feb-2014 Administrative Proceeding
Order Approving Modified Plan of Distribution, Appointing Fund Administrator, and Setting Fund Administrator Bond Amount
On February 28, 2014, the SEC, among other things, appointed Boston Financial Data Services as Fund Administrator for the Fair Fund. The SEC ordered that the Fund Administrator "shall obtain a bond in the manner prescribed in Rule 1105(c) ... in the approved amount of $24,414,038."
34-71638-mdp 28-Feb-2014 Administrative Proceeding
Modified Plan of Distribution
According to the SEC: "This Modified Plan of Distribution ('Distribution Plan') proposes a methodology for distribution to investors of $24,045,447, plus accumulated interest, paid by BNY Mellon Securities LLC ('Mellon Securities') and $368,591, plus accumulated interest (in total with the Mellon Securities amount, the 'Distribution Amount'), paid by Mark Shaw ('Shaw') in the settlement of separate but related administrative proceedings with the Securities and Exchange Commission ('Commission')." Mellon Securities retained Alan Friedman, Vice President of Charles River Associates, Inc., as the Independent Distribution Consultant ("IDC"). The IDC proposed that Boston Financial Data Services, Inc. serve as Fund Administrator.
34-72962 03-Sep-2014 Administrative Proceeding
Order Directing Disbursement of Fair Fund
On September 3, 2014, the SEC ordered that $18,265,971.49 be transferred from the Fair Fund to Deutsche Bank Trust Company Americas, and that the Fund Administrator distribute such monies to investors.
34-81064_3-14191 30-Jun-2017 Administrative Proceeding
Notice of Name Change of Appointed Tax Administrator
On June 30, 2017, the SEC announced a Name Change of Appointed Tax Administrator, and amended the Omnibus Order, beginning June 2017 and for calendar year 2018, to replace all references to Damasco with "Miller Kaplan Arase LLP which acquired Damasco & Associates LLP" in order to reflect Damasco's name change.
34-84058 07-Sep-2018 Administrative Proceeding
Order Directing Second Disbursement of Fair Fund
The SEC wrote: "Accordingly, it is ORDERED that the Commission shall transfer $6,397,684.65 from the Fair Fund to Deutsche Bank Trust Company Americas, and that the Fund Administrator shall distribute a total of $10,815,625.00 to investors as provided for in the Plan."
34-97172 20-Mar-2023 Administrative Proceeding
In the Matter of BNY Mellon Securities LLC and Mark Shaw
The Commission ordered that: "the Fair Fund’s remaining funds, and any funds returned to the Fair Fund in the future, shall be transferred to the U.S. Treasury . . . the IDC, Alan Friendman, and the Fund Administrator, DST Asset Manager Solutions, Inc. formerly Boston Financial Data Services, are discharged; . . . the Fund Administrator’s bond is cancelled; and . . . the Fair Fund is terminated."

Related Actions:

In the Matter of Mark Shaw