Federal Regulatory Agencies
Here's a look at documents from federal regulatory agencies
Featured Stories
SEC Suspends Accountant Jai Sondhi for Insider Trading
WASHINGTON, May 6 -- The Securities and Exchange Commission has announced the suspension of Jai Sondhi from practicing or appearing before the Commission as an accountant. This action follows findings that Sondhi engaged in insider trading while employed at Canoo Inc. (File No. 3-22636).
Sondhi, a certified public accountant in Texas, served as the Senior Director of Internal Audit and Controls for Canoo between February and December 2022. According to the order, Sondhi attended internal meetings in June 2022 where he obtained nonpublic information regarding a confidential business deal between
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WASHINGTON, May 6 -- The Securities and Exchange Commission has announced the suspension of Jai Sondhi from practicing or appearing before the Commission as an accountant. This action follows findings that Sondhi engaged in insider trading while employed at Canoo Inc. (File No. 3-22636).
Sondhi, a certified public accountant in Texas, served as the Senior Director of Internal Audit and Controls for Canoo between February and December 2022. According to the order, Sondhi attended internal meetings in June 2022 where he obtained nonpublic information regarding a confidential business deal betweenCanoo and a prominent retailer.
While in possession of this information, Sondhi purchased Canoo common stock and call options. When the company publicly announced the transaction on July 12, 2022, the stock price surged by more than 50%. The Commission alleged that Sondhi's trading activities resulted in total gains of $54,965.23.
On April 28, 2026, a final judgment was entered against Sondhi in the United States District Court for the Northern District of Texas. He was ordered to pay $54,965.23 in disgorgement, $15,969.28 in interest, and a civil penalty of $54,965.23. The court also permanently enjoined him from future violations of federal securities laws.
Under the terms of the administrative order, Sondhi is prohibited from representing clients or performing accounting work subject to Commission oversight. He may apply for reinstatement after three years, provided he meets specific requirements. These include showing that his work will be reviewed by an independent audit committee and providing documentation that his CPA license remains in good standing.
Sondhi consented to the entry of the order without admitting or denying the findings, other than acknowledging the jurisdiction of the Commission and the entry of the previous court judgment.
-- Vidhi Gianani, Targeted News Service
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Original text here: https://www.sec.gov/files/litigation/admin/2026/34-105372.pdf
SEC Obtains Final Judgment as to Investment Adviser, His Entity in Alleged Unregistered Oil, Gas Offerings
WASHINGTON, May 6 -- The Securities and Exchange Commission issued the following litigation release (No. 2:25-cv-08610; C.D. Cal. filed Sept. 11, 2025):
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Securities and Exchange Commission v. David P. Ortiz and DaveGlo Investment Group, Inc., No. 2:25-cv-08610 (C.D. Cal. filed Sept. 11, 2025)
On April 27, 2026, the United States District Court for the Central District of California entered final judgments as to David P. Ortiz and his entity DaveGlo Investment Group, Inc. (DaveGlo), whom the SEC previously charged with selling securities in unregistered oil and gas offerings, acting as unregistered
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WASHINGTON, May 6 -- The Securities and Exchange Commission issued the following litigation release (No. 2:25-cv-08610; C.D. Cal. filed Sept. 11, 2025):
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Securities and Exchange Commission v. David P. Ortiz and DaveGlo Investment Group, Inc., No. 2:25-cv-08610 (C.D. Cal. filed Sept. 11, 2025)
On April 27, 2026, the United States District Court for the Central District of California entered final judgments as to David P. Ortiz and his entity DaveGlo Investment Group, Inc. (DaveGlo), whom the SEC previously charged with selling securities in unregistered oil and gas offerings, acting as unregisteredbrokers, and as to Ortiz, failing to disclose financial conflicts of interest to advisory clients.
The SEC's complaint, filed on September 11, 2025, alleged that Ortiz, a California resident working through his entity DaveGlo, marketed and sold approximately $18 million of investments in oil and gas securities to approximately 20 retail investors in a series of unregistered securities offerings. The complaint alleged that Ortiz used mass marketing, including advertisements on radio programs and investment workshops, to solicit investors, and that he received more than $800,000 in transaction-based compensation for selling the unregistered securities.
Previously, without admitting or denying the allegations in the complaint, Ortiz and DaveGlo consented to judgments, entered by the Court on December 19, 2025, that permanently enjoined each from violating Section 5 of the Securities Act of 1933 and Section 15(a) of the Securities Exchange Act of 1934, and as to Ortiz, Section 206(2) of the Investment Advisers Act of 1940; and permanently enjoining Ortiz from issuing, purchasing, offering, or selling securities except for purchases or sales for his own personal account. The final judgments, entered by the Court on April 27, 2026, further ordered Ortiz and DaveGlo, jointly and severally, to pay disgorgement of $816,934, and prejudgment interest of $170,194, and ordered Ortiz to pay a $50,000 civil penalty, for a total monetary judgment of $1,037,128.
The SEC's investigation was conducted by Brian Fitzsimons and David Frisof and was supervised by Brian Quinn and Michael Brennan. The SEC's litigation was led by Mr. Fitzsimons and Rachel Yeates and was supervised by James Carlson.
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Resources
* Final Judgment - David P. Ortiz (https://www.sec.gov/files/litigation/litreleases/2026/judg26549-ortiz.pdf)
* Final Judgment - DaveGlo Investment Group, Inc. (https://www.sec.gov/files/litigation/litreleases/2026/judg26549-daveglo.pdf)
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Original text here: https://www.sec.gov/enforcement-litigation/litigation-releases/lr-26549
SEC Obtains Final Consent Judgment in Alleged Investment Fraud Scheme That Targeted U.S. Navy Veterans & Active Duty Service Members
WASHINGTON, May 6 -- The Securities and Exchange Commission issued the following litigation release (No. 22-cv-6684; N.D. Ill. filed July 27, 2022) involving a final consent judgment in alleged investment fraud scheme:
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On May 4, 2026, the United States District Court for the Northern District of Illinois entered a final judgment as to Robert L. Murray, Jr., a former U.S. Navy chief petty officer, in connection with the SEC's enforcement action against Murray for allegedly engaging in a fraudulent investment scheme that used Facebook to target U.S. Navy active duty service members, veterans,
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WASHINGTON, May 6 -- The Securities and Exchange Commission issued the following litigation release (No. 22-cv-6684; N.D. Ill. filed July 27, 2022) involving a final consent judgment in alleged investment fraud scheme:
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On May 4, 2026, the United States District Court for the Northern District of Illinois entered a final judgment as to Robert L. Murray, Jr., a former U.S. Navy chief petty officer, in connection with the SEC's enforcement action against Murray for allegedly engaging in a fraudulent investment scheme that used Facebook to target U.S. Navy active duty service members, veterans,and reservists.
According to the SEC's complaint, from September 2020 through January 2022, Murray, formerly of North Canton, Ohio and Chicago, solicited prospective investors in a Facebook group for active duty, reservists, and veterans of the U.S. Navy. As further alleged, Murray, who acted as an unregistered investment adviser to a private pooled investment fund he controlled, Deep Dive Strategies, LLC, raised nearly $355,000 from approximately 44 investors in 14 states through the offer and sale of unregistered securities in the form of Deep Dive Strategies membership interests. According to the complaint, while Murray told investors that the fund would invest in publicly traded securities, in reality, Murray misappropriated nearly 42% of investors' funds for his personal expenses, including for gambling.
The final judgment permanently enjoins Murray from violating Sections 5(a), 5(c), and 17(a) of the Securities Act of 1933, Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and Sections 206(1), 206(2), and 206(4) of the Investment Advisers Act of 1940, and orders him to pay disgorgement in the amount of $112,271.71, which shall be deemed satisfied by the order of restitution entered against him in United States v. Murray, No. 22-cr-643 (N.D. Ill.), a parallel criminal matter.
The SEC's investigation was conducted by Matthew T. Wissa and supervised by Jeffrey A. Shank of the SEC's Chicago Regional Office. Eric M. Phillips led the litigation.
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Resources
* Final Judgment (https://www.sec.gov/files/litigation/litreleases/2026/judg26550.pdf)
* SEC Complaint (https://www.sec.gov/files/litigation/complaints/2026/comp26550.pdf)
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Original text here: https://www.sec.gov/enforcement-litigation/litigation-releases/lr-26550
SEC Commissioner Uyeda Issues Statement on Proposing Semiannual Reporting
WASHINGTON, May 6 -- The Securities and Exchange Commission issued the following statement on May 5, 2026, by Commissioner Mark T. Uyeda on proposing semiannual reporting:
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Quarterly reporting has its roots in post-World War II industrial recovery.[1] But is there any particular magic to quarterly reporting? Why not monthly? Or weekly? Or real-time reporting? Modern technology makes faster and more frequent reporting possible, but that does not necessarily mean it is better. On the other hand, should the Commission continue to mandate a quarterly reporting cycle at all? If investors are
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WASHINGTON, May 6 -- The Securities and Exchange Commission issued the following statement on May 5, 2026, by Commissioner Mark T. Uyeda on proposing semiannual reporting:
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Quarterly reporting has its roots in post-World War II industrial recovery.[1] But is there any particular magic to quarterly reporting? Why not monthly? Or weekly? Or real-time reporting? Modern technology makes faster and more frequent reporting possible, but that does not necessarily mean it is better. On the other hand, should the Commission continue to mandate a quarterly reporting cycle at all? If investors areunsatisfied with the cycle of corporate financial reporting, they will attach higher risk to that company and raise the cost of capital.
Today, the Commission proposes changes to our reporting framework to give companies more options in fulfilling their reporting obligations. A framework built nearly 75 years ago, when public companies tended to be in manufacturing and the roles of institutional investors and asset managers in the markets were different, should not be presumed to serve all companies optimally in 2026. This proposal would permit companies that go--and remain--public to be subject to a more flexible SEC reporting framework. Specifically, the Commission proposes to allow companies to meet their Exchange Act interim reporting obligations[2] by filing semiannual reports on new Form 10-S, rather than quarterly reports on Form 10-Q. The Commission is also proposing corresponding amendments to Regulation S-X to facilitate this change.
Our Rulebook Should Promote Flexibility: One Size Does Not Fit All
Our proposal focuses on flexibility--ensuring companies and their investors can select reporting cadences that best reflect their business models. An established pharmaceutical company with a trillion-dollar market capitalization is markedly different from a pre-revenue biotech company pursuing approval of a single drug candidate.[3] Their financial rhythms, business milestones, and investor expectations might differ dramatically. For the former, quarterly financial developments may signal underlying business changes, whereas for the latter, the key information may relate to the successful scientific development and FDA approval of the drug.
Our framework should allow market participants to select the optimal reporting period for their business. Issuers will select a reporting period, and investors and market intermediaries will signal whether such period aligns with their expectations--through their decision to buy or sell such securities. Companies are free to communicate important information through means other than the Form 10-Q, including press releases, blog posts, and social media. Further, companies remain subject to current report filing obligations on Form 8-K for certain material events. These events include, among others, entries into material definitive agreements, notices of delisting, unregistered sales of equity securities, and Regulation FD disclosures.[4]
We Should Not Promote Short-termism
Moreover, concerns have been raised that the Commission's mandatory quarterly reporting scheme results in a greater emphasis on the short-term outlook. Nearly three decades ago, Chairman Arthur Levitt emphasized the need to look beyond short-term estimates, stating "Wall Street needs to focus less on quarterly earnings and more on the long-term health and viability of a company."[5] Excessive focus on quarterly results can distract management from executing long term strategy. It can also impose compliance burdens that may not produce commensurate benefits for investors. To the extent that the Commission can reduce the amount of time spent managing regulatory obligations that do not add clear corresponding value to capital markets, we should rethink such obligations.
I look forward to hearing the views of commenters as to whether the proposed approach would promote such an outlook, reduce compliance costs, and increase flexibility. I greatly appreciate the efforts of the staff of the Divisions of Corporation Finance and Economic Risk and Analysis as well as the Offices of the General Counsel and the Chief Accountant for their work on this proposal. I also appreciate the efforts of President Trump to improve the productivity and efficiency of American companies by reducing unnecessary regulatory burdens.
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[1] Semiannual Reporting, Release No. 33-11414 (May 5, 2026), available at https://www.sec.gov/files/rules/proposed/2026/33-11414.pdf
[2] Securities Exchange Act of 1934 (Exchange Act).
[3] Refer to Remarks at the 53rd Annual Securities Regulation Institute, Commissioner Mark T. Uyeda, Coronado, CA, Jan. 26, 2026 available at https://www.sec.gov/newsroom/speeches-statements/uyeda-remarks-securities-regulation-institute-012626.
[4] Form 8-K, Current Report, available at https://www.sec.gov/files/form8-k.pdf.
[5] A Financial Partnership, Chairman Arthur Levitt, Chairman, Financial Executives Institute, (Nov. 16, 1998) available at https://www.sec.gov/news/speech/speecharchive/1998/spch227.htm.
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Original text here: https://www.sec.gov/newsroom/speeches-statements/uyeda-statement-proposing-semiannual-reporting-050526
FCC Chairman Carr Announces Staff Promotions
WASHINGTON, May 6 -- The Federal Communications Commission issued the following statement on May 5, 2026, by Chairman Brendan Carr:
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FCC Chairman Carr Announces Staff Promotions
Thanks Talented Team for Their Great Work
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Today, FCC Chairman Brendan Carr announced a number of staff promotions. Chairman Carr stated: "The FCC's talented staff represent the best in public service. I continue to be impressed every day by their dedication and the great results they deliver for the American people. I am honored to announce these promotions."
Senior National Security Counsel. Adam Chan has
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WASHINGTON, May 6 -- The Federal Communications Commission issued the following statement on May 5, 2026, by Chairman Brendan Carr:
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FCC Chairman Carr Announces Staff Promotions
Thanks Talented Team for Their Great Work
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Today, FCC Chairman Brendan Carr announced a number of staff promotions. Chairman Carr stated: "The FCC's talented staff represent the best in public service. I continue to be impressed every day by their dedication and the great results they deliver for the American people. I am honored to announce these promotions."
Senior National Security Counsel. Adam Chan hasbeen serving as Chairman Carr's National Security Counsel, and he is now promoted to Senior National Security Counsel.
Senior Counsel. Anthony Patrone has been serving as a Legal Advisor in the Office of Chairman Carr, and he is now promoted to a Senior Counsel to Chairman Carr. Anthony's portfolio will include advising the Chairman on matters before the Enforcement Bureau.
Legal Advisor. Allison Howell has been serving as an Attorney Advisor in the Office of Chairman Carr, and she is now promoted to a Legal Advisor to Chairman Carr. Allison's portfolio will include advising the Chairman on matters before the Media Bureau.
Director, Office of Legislative Affairs. Connor Glisson has been serving as a Senior Legal Advisor in the front office of the FCC's Space Bureau, and he is now promoted to Director of the FCC's Office of Legislative Affairs. Previously, Connor served as Tech Policy Counsel to Senator Marsha Blackburn and as Legislative Correspondent to Senator David Vitter. In addition to his experience on Capitol Hill, Connor also brings years of valuable experience from his prior roles in the private sector and in public service, including at USAC, NTIA, and FCC.
Deputy Chief of Staff. Erin Boone has been serving as a Senior Counsel to Chairman Carr. She will now serve as a Deputy Chief of Staff covering a range of issues in coordination with the FCC's Chief of Staff, Scott Delacourt.
Acting Bureau Chief. Alex Sanjenis has been serving as a Deputy Bureau Chief in the FCC's Media Bureau. He will now serve as the Acting Chief of the FCC's Media Bureau.
Full bios are available on the FCC's website, including at: https://www.fcc.gov/about/leadership/brendan-carr/staff
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Original text here: https://docs.fcc.gov/public/attachments/DOC-421485A1.pdf
FCC Chairman Carr Announces Six Months of Operation Clean Carts Success
WASHINGTON, May 6 -- The Federal Communications Commission issued the following statement on May 4, 2026, by Chairman Brendan Carr:
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Chairman Carr Announces Six Months of Operation Clean Carts Success
Millions of Insecure Devices Removed From E-Commerce Platforms and Best Practices Developed in Ongoing Oversight Efforts.
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Today, the Federal Communications Commission provides an update on six months of successful results from Operation Clean Carts. Led by the FCC's Council on National Security, the FCC launched Operation Clean Carts to rid e-commerce platforms of unauthorized covered
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WASHINGTON, May 6 -- The Federal Communications Commission issued the following statement on May 4, 2026, by Chairman Brendan Carr:
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Chairman Carr Announces Six Months of Operation Clean Carts Success
Millions of Insecure Devices Removed From E-Commerce Platforms and Best Practices Developed in Ongoing Oversight Efforts.
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Today, the Federal Communications Commission provides an update on six months of successful results from Operation Clean Carts. Led by the FCC's Council on National Security, the FCC launched Operation Clean Carts to rid e-commerce platforms of unauthorized coveredequipment. After six months, the leading e-commerce companies have removed over 3 million listings for illegal, dangerous devices and continue to update their screening best practices.
Chairman Carr issued the following statement:
"Operation Clean Carts has been and will continue to be a huge win for the American people, by limiting the sale of insecure gear online. We commend e-commerce platforms for working with us and developing best practices, and we urge other online sellers to follow suit."
Additional Background Information:
Federal law prohibits the sale or marketing of electronic equipment and devices on the agency's Covered List, found to pose national security risks. Six months ago, the FCC announced the initial success of Operation Clean Carts, a coordinated enforcement/engagement initiative to protect American consumers by reducing the online availability of illegal electronic devices. This operation continues to reap rewards for the American people.
Over the last six months, online marketplaces have collectively removed or blocked over 3 million product listings associated with insecure "covered" equipment. Since each listing can result in many sales, the actual number of devices removed from sale is likely significantly higher. Moreover, participating e-commerce platforms have voluntarily strengthened their compliance programs with automated detection, enhanced product vetting, rapid delisting mechanisms, third-party seller education, and ongoing improvements to internal compliance. The FCC has encouraged and witnessed the development of several practices that could benefit the entire e-commerce ecosystem:
* Using AI and machine-learning tools to identify potentially unlawful devices through text, image, and metadata searches, even where third-party sellers use evasive tactics (such as misspelled or abbreviated brand names, image manipulation, or the purposeful misclassification of devices in unrelated categories to avoid detection).
* Verifying FCC authorization, including cross-checking FCC IDs against the equipment authorization system and collecting the needed information to ensure the device is FCC compliant.
* Enhanced third-party seller vetting, including stricter onboarding requirements, verification of brand authorization, and gating of higher risk product categories by requiring pre approval and additional compliance documentation before products can be listed.
* Strong takedown and re-listing prevention systems, including the use of automated suppression, product level and seller level restrictions, and updated detection patterns to stop attempts to relist prohibited products under different names or categories.
* Expanded education and communication channels, including updated compliance guidance, streamlined FCC to platform coordination, and more accessible information to support timely removals and ongoing program improvements.
The FCC will continue periodic monitoring of unauthorized devices, especially covered equipment, being sold on major e-commerce platforms and will also continue to work closely with platforms to ensure compliance with federal rules and to protect our nation's consumers and communications networks from existing and emerging threats.
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Original text here: https://docs.fcc.gov/public/attachments/DOC-421450A1.pdf
Consumer Financial Protection Bureau Report: 'GAO-IG Act Reporting'
WASHINGTON, May 6 (TNSres) -- The Consumer Financial Protection Bureau issued the following report on April 30, 2026, entitled "GAO-IG Act Reporting."
Here are excerpts:
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1. Introduction
On January 3, 2019, the Good Accounting Obligation in Government Act (GAO-IG Act or Act) was enacted as Public Law number 115-414. This report is published by the Consumer Financial Protection Bureau (Bureau or CFPB) in compliance with that law.
The GAO-IG Act requires agencies to annually submit a report to Congress on the status of certain open public audit recommendations. To comply with the requirements
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WASHINGTON, May 6 (TNSres) -- The Consumer Financial Protection Bureau issued the following report on April 30, 2026, entitled "GAO-IG Act Reporting."
Here are excerpts:
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1. Introduction
On January 3, 2019, the Good Accounting Obligation in Government Act (GAO-IG Act or Act) was enacted as Public Law number 115-414. This report is published by the Consumer Financial Protection Bureau (Bureau or CFPB) in compliance with that law.
The GAO-IG Act requires agencies to annually submit a report to Congress on the status of certain open public audit recommendations. To comply with the requirementsof the Act, this report contains the following sections: (1) open Government Accountability Office (GAO) recommendations, and (2) open Office of the Inspector General (OIG) of the Board of Governors of the Federal Reserve System (FRB) recommendations.
The GAO-IG Act also requires an agency to disclose discrepancies between its report and reports issued by the GAO and OIG. The CFPB is not aware of any discrepancy between this report and public reports issued by the GAO or OIG.
1.1 Background
The CFPB was established on July 21, 2010, under Title X of the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act) as a bureau within the Federal Reserve System. The CFPB is an Executive agency as defined in Section 105 of Title 5, United States Code. As an Executive agency and under the Dodd-Frank Act, the CFPB is subject to external audits and reviews, some of which are legislatively mandated, others of which are conducted at the discretion of the oversight body.
Audits and reviews conducted by the GAO and OIG can be categorized as follows:
* GAO Annual Financial Statement Audit: This annual audit is to determine whether the CFPB's financial statements were fairly presented and whether the CFPB's management maintained effective internal control over financial reporting. The annual GAO financial statement audit is a requirement of the Dodd-Frank Act, 12 U.S.C. Sec. 5496a(b).
* GAO Subject Matter Engagements: These engagements are performed at the request of congressional members, committees, or subcommittees, may be mandated by public laws or committee reports, or are undertaken at GAO's own initiative.
3 CONSUMER FINANCIAL PROTECTION BUREAU
OIG: The OIG conducts audits, investigations, and other reviews of the CFPB's program functions. Section 1081 of the Dodd-Frank Act amended the Inspector General Act of 1978 (IG Act) to create one Inspector General for both the FRB and the CFPB and provide the OIG with all the authorities and responsibilities provided by the IG Act with respect to the CFPB.
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View full report at: https://files.consumerfinance.gov/f/documents/cfpb_gao-ig-act-report-cy2025_2026-04.pdf
