Defendant Name: LavaFlow, Inc.

Defendant Type: Subsidiary of Public Company
Public Company Parent: Citigroup Inc.
SIC Code: 6021
CUSIP: 17296742

Document Reference: 34-72673

Document Details

Legal Case Name In the Matter of LavaFlow, Inc.
Document Name Order Instituting Administrative and Cease-and-Desist Proceedings, Pursuant to Sections 15(b) and 21C of the Securities Exchange Act of 1934, Making Findings, and Imposing Remedial Sanctions and a Cease-and-Desist Order
Document Date 25-Jul-2014
Document Format Administrative Proceeding
File Number 3-15985
Allegation Type Broker Dealer
Document Summary On July 25, 2014, the SEC instituted settled administrative and cease-and-desist proceedings against LavaFlow, Inc. According to the SEC: "This proceeding concerns the LavaFlow ECN, an alternative trading system ('ATS') operated by LavaFlow, a registered broker-dealer.... LavaFlow violated Rule 301(b)(10) [of Regulation ATS] from at least March 2008 through March 2011 by failing to establish adequate safeguards and procedures to protect the LavaFlow ECN subscribers' confidential trading information."

Disgorgement & Penalty Information

Resolutions
Cease and Desist Order
Censured
Monetary Penalties:

Disgorgement

Individual:     $1,800,000.00 Shared:    

Civil Penalty

Individual:     $2,850,000.00 Shared:    

Pre-Judgment Interest

Individual:     $350,000.00 Shared:    

Related Documents:

2014-147 25-Jul-2014 Press Release--Administrative Proceeding
Citigroup Business Unit Charged With Failing to Protect Confidential Subscriber Data While Operating Alternative Trading System
On July 25, 2014, the SEC announced that it "charged a Citigroup business unit operating an alternative trading system (ATS) with failing to protect confidential trading data of its subscribers."