Cease and desist order from October 17, 2017. https:// www.sec.gov/litigation/admin/2017/34-81898.pdf A deliberate attempt by a representative to hide communications from the company, and the SEC. Who she was communicating with at this time is unknown.
Company overview:
https:// www.bloomberg.com/research/stocks/private/snapshot.asp?privcapId=3157486
>Old but stuff
Good find anon. I read the article and for the most part I thought the CEO Reynolds may be on the up and up until I read "Reynolds is publicity shy, too. But behind the scenes, he has worked as a partner in Reverend Jesse Jackson's Rainbow PUSH Coalition and is now chairman of the Chicago Urban League." The red flags went to full mast.
Here is my take on the cease and desist order:
1) A senior level employee of LCM was involved in a financial transaction in 2011 and 2012 in which she communicated with the client via her AOL account. Another high level employee was aware she was using her AOL account.
2) For some reason or another this 'transaction' was being investigated in 2013. Request for electronic communications by the SEC led to the discovery of this AOL account.
I have not found who the employees are, details of the financial transaction, and who this transaction was with. The use of the AOL account to me is suspicious since nobody in 2011 used this..except for some politicians and Sid Blumenthal. AOL may be a lead. Maybe not.
To the best of my knowledge, the Cease and Desist order led to just a fine of $25,000.
>The firm has participated in transactions with more than 2,500 state and local governments, higher education institutions, transportation and housing agencies, and public power and utility clients across 49 states, Puerto Rico, and Washington, D.C.
http:// progressillinois.com/quick-hits/content/2014/11/19/chicagoans-confront-school-board-over-cps-controversial-bond-deals
>"While that was happening, Goldman Sachs, Bank of America, Loop Capital and others took $237 million in profits from CPS through these deals – this is according to CPS' numbers,"
HORWITZ v. LOOP CAPITAL MKTS. LLC
https:// www.leagle.com/decision/innyco20161212308
>These facts, plaintiff contends, raise an inference that defendant discharged him because of his disability in order to avoid embarrassment at the meeting.
Another cease and desist from 2015
https:// www.sec.gov/litigation/admin/2015/33-9829.pdf
>This matter involves violations of an antifraud provision of the federal securities
laws in connection with Respondent’s underwriting of certain municipal securities offerings.
Respondent, a registered broker-dealer, conducted inadequate due diligence in certain offerings
and as a result, failed to form a reasonable basis for believing the truthfulness of certain material
representations in official statements issued in connection with those offerings. This resulted in
Respondent offering and selling municipal securities on the basis of materially misleading
disclosure documents.
Firm in Skyway deal linked to corruption case
http:// www.afro-netizen.com/2004/11/firm_in_skyway_.html
> is at the center of a federal corruption case in Philadelphia.
Loop Capital Markets – a big donor to Illinois politicians – secretly funneled money to a Philadelphia attorney to gain business with the city of Philadelphia, according to a federal indictment there.
Probably nothing. The make quite a few recommendations…Think Jim Cramer.