Tag: SEC

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Been Hacked? To Report Or Not To Report… To The SEC, It Isn’t Even A Question.
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Government Regulation, Legislation and Enforcement Updates

Been Hacked? To Report Or Not To Report… To The SEC, It Isn’t Even A Question.

By Tyler Kirk

In the US, the Securities and Exchange Commission has encouraged its regulated entities to self-report. If entities do not self-report, there is the very real possibility that a whistleblower may disclose a cybersecurity incident to the Commission. Significantly, the SEC has indicated that it would take a more adversarial position against an entity that does not self-report.
When self-reporting cybersecurity incidents to the SEC, it is important to approach the Commission with a well thought out plan for responding to the incident. Moreover, a remediation strategy should be a part of every entity’s cybersecurity policies and procedures.

After a cybersecurity incident, SEC regulated entities, such as investment companies and their boards, should move quickly to establish the scope of the incident, decide whether to self-report to the SEC, and begin the remediation process. According to the Commission, under some circumstances, the SEC has tools available to assist with remediation.

Importantly, self-reporting cybersecurity incidents to the SEC could benefit an investment company and its board by leading to a reduced penalty in the event an enforcement action is brought on the basis of the incident.

Government Regulation, Legislation and Enforcement Updates

by Jim Bulling and Julia Baldi

Australian Federal Government Cybersecurity Review
The Australian Federal Government holds a Cybersecurity Review.

See the Australian Government’s summary of the review here.

SEC Guidance Update
The SEC’s Investment Management Team published a Guidance Update which outlines measures managed funds and investment advisers may wish to consider in addressing cybersecurity risk. The guidance includes practical tips applicable to Australian entities.

See the Guidance Update here.

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