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Senator to SEC: Stop granting waivers to law-breaking companies

Posted on June 14th, 2014 at 15:42 by John Sinteur in category: Robber Barons -- Write a comment


The main waiver at issue involves “well-known seasoned issuer,” or WKSI, waivers to companies.

A WKSI waiver is a coveted tag that lets companies raise money immediately through securities offerings without waiting for SEC approval.

Companies convicted of crimes or found liable for fraud can lose the status, but the SEC can agree to provide the company a waiver so they retain the WKSI tag.

In April, two SEC commissioners dissented over a waiver granted to the Royal Bank of Scotland Group Plc after one of its units struck a criminal plea deal over manipulation of the Libor benchmark interest rate.

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