- 2016
- 437,328
Respondents – a Kansas-based municipal advisor, its CEO, and two employees – arranged for a client’s bond offerings to be underwritten by an affiliated broker-dealer. All three of the individual respondents also worked for the b-d as registered representatives. This affiliation/conflict was not disclosed, and thus regarded as a breach of fiduciary duty. This was the SEC’s first case enforcing the fiduciary duty for municipal advisors created by the Dodd-Frank Act of 2010.
