GRC Report Staff

Senators Ron Wyden (D., Ore.) and Elizabeth Warren (D., Mass.) are turning up the heat on TD Bank, demanding answers about what its executives and employees knew regarding a sprawling money-laundering operation. This operation, spearheaded by Da Ying Sze—a Queens-based individual—funneled more than $470 million from drug sales through the bank. The senators’ inquiry, detailed in a letter to TD Bank CEO Bharat Masrani, signals ongoing scrutiny despite October’s record-breaking $3 billion settlement with the Justice Department.

As we move into the 2024 financial year, big changes are on the horizon for large publicly listed companies. Thanks to the Corporate Sustainability Reporting Directive (CSRD), companies with over 500 employees are now required to significantly enhance how they report sustainability information. These changes, highlighted in the latest AFM (Dutch Authority for the Financial Markets) Market Watch report, will not only impact annual corporate reports but also extend to prospectuses and press releases, providing investors with clearer, more detailed insights into a company’s environmental, social, and governance (ESG) efforts.

Methode Electronics, the Chicago-based manufacturer known for its contributions to transportation and cloud computing industries, is facing questions from the Securities and Exchange Commission (SEC) over its adherence to anti-corruption laws, including the Foreign Corrupt Practices Act (FCPA).

Morgan Stanley Smith Barney LLC (MSSB) is facing a $15 million penalty from the Securities and Exchange Commission (SEC) after the agency found significant lapses in the firm’s ability to supervise its financial advisors. The gaps in oversight allowed four advisors to misappropriate millions of dollars from client accounts over several years.

The European Union is stepping up its cybersecurity game. At the initiative of the Hungarian presidency, the Council of the European Union has approved a set of conclusions aimed at bolstering the role of ENISA, the EU’s cybersecurity agency. These recommendations come as the bloc faces an increasingly complex cyber threat landscape and amid ongoing discussions to revise the Cybersecurity Act (CSA).

SG Americas Securities, LLC, a New York-based member of the Financial Industry Regulatory Authority (FINRA), has found itself in hot water for failing to comply with essential fingerprinting requirements. FINRA announced a $950,000 fine, a formal censure, and strict remediation obligations following SG Americas’ acknowledgment of violations dating back to 2016.

The Public Company Accounting Oversight Board (PCAOB) has unveiled its inspection playbook for 2025, and it’s clear: the watchdog is doubling down on tackling risks and driving improvements where it counts most. The new staff report, released today, is packed with insights for auditors, audit committees, and anyone invested in safeguarding the financial system’s integrity.