This item is part of Stockwatch's value added news feed and is only available to Stockwatch subscribers.

Here is a sample of this item:

by Mike Caswell

The U.S. Securities and Exchange Commission has fined the Ontario Teachers' Pension Plan Board and 22 other organizations for short-selling violations. The SEC claims that the firms sold a number of companies short just before receiving shares in those same companies through offerings. The fines levied by the SEC total $14.4-million, with the Ontario Teachers' agreeing to pay $224,835. (All figures are in U.S. dollars.)

The sanctions, announced by the SEC on Tuesday, Sept. 17, stem from violations of rules designed to prevent manipulation of a stock ahead a public offering. Generally, the SEC prohibits traders from participating in an offering if they have sold the same stock short within the preceding five days. Such short-selling can reduce the price of the offering, generating profits for the short-seller.

OTPP

Teachers' CEO Jim Leech

The remainder is available to Stockwatch subscribers.
Sign-up for a FREE 30-day Stockwatch subscription and SEE NO ADS