The SEC announced the opening of registration for its National Compliance Outreach Program for Broker-Dealers from 9 a.m. to 5 p.m. at the SEC Headquarters in Washington, D.C. View Press Release and Agenda here (link externally to SEC website).

The CFTC is proposing to amend its regulations ("Proposal") to clarify certain responsibilities of a swap dealer ("SD") or major swap participant ("MSP") regarding its employees who solicit, accept or effect swaps in a clerical or ministerial capacity. Due Date: Comments must be received on or before June 7, 2013. See: 78 FR 20848 (links externally to CFTC website).

In an amended complaint, the SEC charged a former employee at a California-based medical device manufacturer with illegally leaking confidential financial data to her brother, who illegally traded in the company's stock and enabled his hedge fund clients to do the same. See: Amended Complaint. See also: Press Release; Original Complaint.

SEC Chairman Elisse Walter delivered remarks at the American Bar Association Spring Meeting in Washington, D.C., discussing her approach to the cross-border regulation of derivatives. Chairman Walter posited that there were four potential approaches that the SEC could take to the cross-border regulation of swaps. First, the SEC could simply allow non-U.S. swap dealers to do business in the United States only subject to their own home country legal requirements. Second, the SEC could subject non-U.S. swap dealers to the full body of U.S. regulation. Third, the SEC could allow non-U.S. swap

The Second Circuit issued a significant decision as to a broker-dealer's disclosure obligations to its customers under Rule 10b-16 in connection with the broker-dealer's handling of a customer's margin account. As further discussed, the decision should (i) cause broker-dealers to review their Rule 10b-16 disclosures and (ii) remind customers that have margin accounts that, in the absence of a "lock-up" agreement, a margin loan is a demand loan that is subject to a demand for repayment at any time. The case was brought by two hedge funds and their adviser (collectively, the "Funds") against UBS