On March 12, 2014, the SEC instituted settled administrative proceedings against Jefferies LLC (formerly known as Jefferies & Company, Inc.). According to the SEC: "Respondent failed reasonably to supervise Jesse C. Litvak ('Litvak') and certain other representatives on the Respondent's mortgage-backed securities ('MBS') desk with a view to preventing and detecting their violations of the federal securities laws during the time period from 2009 to 2011.... From 2009 to 2011, Litvak and certain other representatives lied to, or otherwise misled, customers about the price at which Respondent had bought RMBS [residential MBS] and consequently the amount of the firms' profit on the trades. This misconduct deceived customers about the price at which Respondent had recently acquired the RMBS. Respondent's implementation of its supervisory procedures relating to review of its MBS desk representatives' electronic communications with customers was inadequate to prevent and detect these misrepresentations to customers."