Barclays and Credit Suisse are in settlement negotiations with the New York attorney general and the Securities and Exchange Commission (SEC) over alleged unfair practices related to their dark pool trading venues. Both banks are said to be negotiating huge fines, with Credit Suisse's possibly in the high tens of millions. The paramount case against Credit Suisse involves allegations that the bank helped provided unfair advantages to select traders, whereby violating rules against the acute pricing of stocks without adequately disclosing to investors how the process worked. The SEC has been investigating whether these firms have engaged in a "pattern or practice" that caused them to manipulate prices for stock trades on behalf of clients.
Barclays and Credit Suisse are in settlement negotiations with the New York attorney general and the Securities and Exchange Commission (SEC) over alleged unfair practices related to their dark pool trading venues. Both banks are said to be negotiating huge fines, with Credit Suisse's possibly in the high tens of millions. The SEC has been investigating whether these firms have engaged in a "pattern or practice" that caused them to manipulate prices for stock trades on behalf of clients.