SEC Examiner Arrested Over Prohibited Stock Holdings

Law360, New York (November 19, 2013, 2:10 PM EST) -- An SEC compliance examiner was arrested in New York Tuesday, facing criminal charges in federal court for making false statements about keeping certain stocks that SEC employees are prohibited from owning under the agency’s ethics rules.

According to the complaint, Steven Gilchrist of Bethpage, N.Y., failed to sell certain securities, including Bank of America and Citigroup, when they became prohibited by the SEC’s ethics office in 2010 and then lied about them repeatedly to his employer.

Gilchrist entered no plea at his presentment in court Tuesday,...
To view the full article, register now.