The CFTC approved the application of Clear Markets North America, Inc. ("CMSEF") for temporary registration as a swap execution facility ("SEF"). As a next step, the CFTC stated that it would undertake a substantive review of CMSEF's application for full registration. See: Letter of Approval to CMSEF. See also: Cabinet SEF Chart (available to Cabinet subscribers only). Related news: CFTC Issues Notice of Temporary SEF Registration to IGDL (May 9, 2014); CFTC Issues Notice of Temporary SEF Registration to GTX (April 17, 2014); CFTC Issues Notice of Temporary SEF Registration to LatAm SEF, LLC

The Cayman Islands Working Group released a draft of Guidance Notes on the FATCA intergovernmental Agreements ("IGA") between the Cayman Islands and the United States, and the Cayman Islands and the United Kingdom. The 200-page document was issued in draft form to obtain feedback from both Cayman financial institutions and other parties with interest in the Cayman Islands, as well as from the UK's HM Revenue and Customs and the U.S. Department of Treasury. The Working Group expects to finalize the Guidance Notes by the end of June. The Cayman Islands and the UK signed an IGA on November 5

At a presentation on the evolving role of compliance, SEC Commissioner Daniel Gallagher delivered introductory remarks in which he discussed the challenges facing today's compliance professionals and how the SEC can help to encourage an effective compliance function at its regulated entities. Commissioner Gallagher stated that today's compliance personnel must address an ever-broadening and complicated array of financial products, new trading and communication technologies, and diverse market venues. However, he noted, while demands faced by compliance officers have increased dramatically

The United States Government Accountability Office ("GAO") released a report regarding the financial statements of the SEC from fiscal year 2013. In the report, the GAO found several deficiencies in the internal controls of the SEC over financial reporting. While the GAO did not consider the deficiencies to be material weaknesses either individually or collectively, the GAO concluded that the deficiencies warrant the SEC management's attention. The deficiencies relate to: procedures for transferring disgorgement and penalty-related funds to the United States Department of the Treasury; the

Gibraltar officially signed an Intergovernmental Agreement ("IGA") implementing FATCA. It is a Model 1A style reciprocal agreement requiring Reporting Financial Institutions in Gibraltar to report information with respect to U.S. Reportable Accounts and other accounts to tax authorities in Gibraltar for automatic transmittal to the U.S. IRS. The U.S. Department of Treasury also announced that Armenia agreed "in substance" to a Model 2-type IGA, whereby reporting financial institutions in Armenia will be required to report certain account information with respect to U.S. reportable accounts and