Insights & Regulatory Updates
Trillium Capital Manager Sentenced to Prison for Securities Fraud in Getty Images Scheme
A Massachusetts-based venture capitalist, Robert Scott Murray, was sentenced today in Boston’s federal court for orchestrating a securities fraud scheme designed to inflate the trading price of Getty Images Holdings, Inc. (NYSE: GETY). Murray, 61, will serve 10 months in prison and two years of supervised release, as ordered by U.S. District Judge Denise J. Casper. Additionally, he faces forfeiture of $227,543 in illicit gains. Murray, who pleaded guilty in June 2024 to one count of securities fraud, had previously led several public companies, including Stream Global Services and 3Com, before founding and managing Trillium Capital LLC.
SEC Charges Accountant Olayinka Oyebola and His Firm With Aiding and Abetting Massive Fraud
The Securities and Exchange Commission (SEC) has taken significant enforcement action against Olayinka Oyebola and his accounting firm, Olayinka Oyebola & Co. (Chartered Accountants), alleging their role in a sprawling securities fraud orchestrated by Mmobuosi Odogwu Banye, a businessman with an ambitious—and, it turns out, fictitious—empire of U.S.-based companies.
Update: The Supreme Court’s Decision in SEC v. Jarkesy and Its Broader Impact on SEC Enforcement
The Jarkesy ruling has considerable consequences for the SEC’s enforcement program. For years, the SEC has utilized its administrative forum to pursue civil penalties for securities fraud, with the flexibility to adjudicate matters in-house. However, the Supreme Court's decision effectively eliminates this option for cases seeking civil penalties. As a result, the SEC will likely need to shift more cases to federal court, where defendants are entitled to a jury trial. This shift could increase the complexity, time, and costs associated with SEC enforcement actions.
DOJ and SEC Crack Down on Market Manipulation: Enforcement Actions Against Short Sellers Signal Increased Scrutiny
In a decisive move against market manipulation, the U.S. Department of Justice (DOJ) and the U.S. Securities and Exchange Commission (SEC) have launched parallel enforcement actions targeting prominent activist short seller Andrew Left and his firm, Citron Capital LLC. These actions underscore the increased scrutiny short sellers face and highlight the enduring prevalence of "short-and-distort" campaigns—where short sellers spread false or misleading information to drive down a company's stock price for financial gain.