Date: October 23, 2019
General Session: 12 Noon to 1:30 PM EST
Location: Webcast (Free)
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The Pay-to-Play Regulation and Compliance landscape continues to become more complex and treacherous. The Speaking Faculty comprises seminal experts within the field. This course will provide a comprehensive overview of the federal and state pay-to-play regulatory framework.
Additionally, the Speaking Faculty will deliver a detailed examination of the two forms of pay-to-play regulation:
1. Strict liability, where a political contribution automatically disqualifies a firm from contracting with the public entity (i.e., SEC Rule 206(4)-5, MSRB Rule G-37, CFTC Rule 23.451, FINRA Rule 2030, and similar state and local laws).
2. Fraud provisions (e.g., federal honest services fraud) which may trigger a criminal prosecution against the person or firm for proffering the contribution.
The Faculty will provide a complete discussion and analysis regarding the intricate legal mechanics, latest developments, and best practices.
By the end of the session, participants will be able to:
- Define the types of laws and rules that regulate pay-to-play
- Define fraud/conflict of interests-based pay-to-play laws
- Define the relevant federal, state, and local fraud/conflict of interest laws and rules
- Recognize the areas of conduct and types of arrangements that create heightened risk under fraud/conflict of interests-based pay-to-play laws
- Identify compliance strategies, systems, and best practices to ensure compliance with these laws
- Define strict liability pay-to-play laws
- Define the SEC’s objectives in adopting and enforcing the pay-to-play rule
- Learn key components of SEC Rule 206(4)-5 for investment advisers
- Apply relevant definitions under the Rule including what constitutes a covered contribution
- Recognize opportunities for relief under the Rule from SEC orders
- Identify results of recent litigation regarding the rule
- Recognize the risks of an improper contribution by a covered person
- Apply recently effective restrictions on use of placement agents
- Identify other federal pay-to-play rules (MSRB Rule G-37 for broker-dealers that underwrite municipal bonds and municipal advisors, CFTC Rule 23.451 for swap dealers, and FINRA Rule 2030 for broker-dealer placement agents)
- Identify state and local pay-to-play laws and their intersection with above federal pay-to-play rules
- Identify methods for compliance, monitoring, and testing of political contributions and activity to comply with the patchwork of strict liability pay-to-play laws
Walter Zebrowski, JD, CPA, Principal, Hedgemony Partners
Chairman, Regulatory Compliance Association
Senior Fellow from Practice:
Ki Hong, Partner, Skadden, Arps, Slate, Meagher, & Flom
Tyler Rosen, Counsel, Skadden, Arps, Slate, Meagher, & Flom