81 FR 13426 - Sunshine Act Meeting

SECURITIES AND EXCHANGE COMMISSION

Federal Register Volume 81, Issue 49 (March 14, 2016)

[Federal Register Volume 81, Number 49 (Monday, March 14, 2016)]
[Notices]
[Page 13426]
From the Federal Register Online  [www.thefederalregister.org]
[FR Doc No: 2016-05802]


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SECURITIES AND EXCHANGE COMMISSION


Sunshine Act Meeting

    Notice is hereby given, pursuant to the provisions of the 
Government in the Sunshine Act, Public Law 94-409, that the Securities 
and Exchange Commission will hold an Open Meeting on Wednesday, March 
16, 2016 at 1:30 p.m., in the Auditorium (L-002) at the Commission's 
headquarters building, to hear oral argument in an appeal from an 
initial decision of an administrative law judge by respondents Mohammed 
Riad and Kevin Timothy Swanson.
    On April 21, 2014, the ALJ found that respondents violated the 
antifraud provisions of the securities laws while associated with an 
investment adviser responsible for managing the portfolio of a closed-
end investment company, the Fiduciary/Claymore Dynamic Equity Fund (the 
``Fund''). Specifically, the ALJ found that respondents misrepresented 
and omitted material information about two newly implemented derivative 
strategies in the Fund's 2007 annual report and May 2008 semiannual 
report. The ALJ also found that Riad caused the Fund's violation of 
Investment Company Rule 8b-16(b), which requires closed-end funds to 
disclose in their annual reports any material change in their 
investment objectives, policies, and risk factors.
    For these violations, the ALJ imposed cease-and-desist orders, 
order that each respondent pay a third-tier civil penalty of $130,000, 
and barred each respondent. She also ordered that Riad disgorge 
$188,948.52 plus prejudgment interest.
    Respondents appealed the initial decision's findings of violations 
and the sanctions imposed. The issues likely to be considered at oral 
argument include, among other things, whether respondents violated the 
securities laws and, if so, what sanction, if any, is appropriate in 
the public interest.
    For further information, please contact the Office of the Secretary 
at (202) 551-5400.

    Dated: March 9, 2016.
Brent J. Fields,
Secretary.
[FR Doc. 2016-05802 Filed 3-10-16; 4:15 pm]
 BILLING CODE 8011-01-P