Defendant Name:
RBC Capital Markets Corporation
Defendant Type:
Subsidiary of Public Company
Document Reference:
LR-21066_09-cv-05172
Document Details
Legal Case Name
SEC v. RBC Capital Markets Corporation
Document Name
SEC Finalises ARS Settlements With Bank of America, RBC and Deutsche Bank, Providing Over $6 Billion in Liquidity to Investors
Document Date
03-Jun-2009
Document Format
Civil Proceeding
Case Number
09-cv-05172
Federal District Court
New York, Southern District of New York
Allegation Type
Broker Dealer
Document Summary
The SEC "announced that it has filed
complaints in the United States District Court for the Southern District of
New York against Banc of America Securities LLC and Banc of America
Investment Services, Inc. (collectively, Bank of America), RBC Capital
Markets Corporation (RBC), and Deutsche Bank Securities Inc. (Deutsche
Bank) alleging that the firms misled investors regarding the liquidity risks
associated with auction rate securities (ARS) that they underwrote,
marketed or sold."
Disgorgement & Penalty Information
Resolutions
Enjoinment
Various undertakings: "will offer to purchase ARS at par from individuals, charities, and small or medium businesses that purchased those ARS from the firm, even if those customers moved their accounts . . . will use its best efforts to provide liquidity solutions for institutional and other customers, including, but not limited to, facilitating issuer redemptions, restructurings, and other reasonable means, and will not take advantage of liquidity solutions for its own inventory before making those solutions available to these customers . . . will pay eligible customers who sold their ARS below par the difference between par and the sale price of the ARS."
Other Defendants in Action:
