Defendant Name:
SEI Investments Global Funds Services
Defendant Type:
Subsidiary of Public Company
Public Company Parent:
SEI Investments Company
SIC Code:
6280
CUSIP:
78411710
Document Reference:
IC-33087
Document Details
Legal Case Name
In the Matter of SEI Investments Global Funds Services
Document Name
Order Instituting Cease-and-Desist Proceedings Pursuant To Section 9(f) of the Investment Company Act of 1940, Making Findings, and Imposing a Cease-and-Desist Order
Document Date
26-Apr-2018
Document Format
Administrative Proceeding
Allegation Type
Investment Advisers/Investment Companies
Document Summary
The SEC stated that: "This matter involves violations of the Investment Company Act caused by SEI Global Funds Services, relating to the pricing and administration of an affiliated unregistered money market fund (the "Liquidity Fund"). The Liquidity Fund served as the vehicle for re-investing cash collateral obtained in connection with the securities lending activities of certain SEI funds that chose to participate in the securities lending program (the "SEI Funds"). From approximately mid-2008 through the end of 2012, SEI Global Funds Services' actions caused the Liquidity Fund to fail to satisfy the conditions necessary for the SEI Funds to rely upon an exemption under Rule 12d1-1 under the Investment Company Act. Rule 12d1-1 permits a fund, subject to certain conditions, to conduct transactions with an affiliated fund that would be otherwise prohibited under Section 17(a)(1) and (2) of the Investment Company Act. Without the Rule 12d1-1 exemption, the Liquidity Fund violated Section 17(a)(1) and (2) of the Investment Company Act, which generally prohibits transactions between funds and their affiliated persons."
Disgorgement & Penalty Information
Resolutions
Cease and Desist Order
Monetary Penalties:
Civil Penalty
Individual:
$225,000.00
Shared:
