SEC Fines Knight Capital $12M Over 2012 Trading Debacle

Law360, New York (October 16, 2013, 12:19 PM EDT) -- The U.S. Securities and Exchange Commission on Wednesday fined high-frequency trading house Knight Capital Americas LLC $12 million because it didn't have necessary mechanisms in place to prevent technical glitches that caused $460 million in trading losses in August 2012.

In an administrative order, the SEC said that Knight Capital, which has since merged with Getco LLC to form a firm called KCG Holdings, failed to fix a coding mistake in a router for its high-speed trading computers, ultimately causing hundreds of millions of unwanted trades...
To view the full article, register now.
Law360 Pro Say Podcast
Check out Law360's new podcast, Pro Say, which offers a weekly recap of both the biggest stories and hidden gems from the world of law.