Fund directors charged in recent SEC enforcement case targeting valuation - .PDF file.
For the past year, top officials of the Securities and Exchange Commission (SEC) have repeatedly identified the valuation of illiquid assets held by registered funds and private equity and hedge funds as one of the regulatory agency’s top five areas of enforcement focus. And, true to its word, the SEC has been actively pursuing such investigations. Earlier this week, the SEC charged eight former members of the board of directors of Morgan Keegan & Co. mutual funds for abdicating their responsibility to oversee the valuation processes and procedures for securities held by the funds.
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