The Department of Justice ("DOJ"), along with federal and state prosecutors, has announced a $13 billion settlement with JPMorgan. The settlement is the largest known case to date arising out of the packaging, marketing, sale and issuance of residential mortgage-backed securities ("RMBS"). See: DOJ Press Release; DOJ Statement of Facts; List of RMBS Covered by the Settlement.

The CFTC has released the results of a rule enforcement review completed by the Division of Market Oversight ("DMO") evaluating the North American Derivatives Trading Exchange Inc.'s ("Nadex") compliance with Core Principles 2 ( Compliance with Rules) and 12 ( Protection of Market Participants), which relate to an exchange's trade practice surveillance program. Nadex is a specialized exchange that trades binary options and bull spreads. The DMO found that Nadex maintains an adequate trade practice surveillance program, including adequate staff, systems, investigatory work and sanctions, but

Cadwalader attorneys Brad Bondi, Martin L. Seidel, Nathan Bull, Karen Woody and Brett Sisto authored an article in Law360 regarding Mark Cuban's win against the SEC in an insider trading case. On October 17, a Dallas federal court ruled that Mark Cuban, entrepreneur and owner of the Dallas Mavericks, was not liable for insider trading. The article says that, while the verdict may have resulted from adverse evidentiary rulings, this loss may cause the agency to reevaluate its approach to trials and to seek friendlier venues for insider trading cases. Click here to read the article in full by

The House Committee on Financial Services Chairman Jeb Hensarling (R-TX) issued a statement criticizing the recent CFTC advisory letter related to cross-border swaps transactions. Chairman Hensarling expressed his concern that this surprise decision made by "unelected and unaccountable bureaucrats at the CFTC" will do nothing but introduce more uncertainly into America's weak economy. He stressed that the CFTC staff, "not the commissioners, but the staff," decided late Thursday afternoon that swaps transactions which were permissible that afternoon would no longer be permissible on Friday

The National Futures Association ("NFA") has issued a notice requesting that any CPO operating a registered investment company ("RIC") that utilizes wholly owned subsidiaries, or controlled foreign corporations, notify the NFA if it has filed a claim of notice under CFTC No-Action Letter 13-51. CFTC No-Action letter 13-51 permits the CPOs of RICs that trade commodity interests through wholly owned subsidiaries known as controlled foreign corporations ("CFCs") to report for the RIC and CFC on a consolidated basis when complying with financial reporting requirements under CFTC Rule 4.22(c) (