Andy Reich’s practice includes representation of firms and individuals in investigations and enforcement proceedings by the SEC and securities self-regulatory organizations (SROs), as well as counseling broker-dealers with respect to compliance issues. He has represented clients in numerous investigations by the SEC, FINRA (f/k/a NASD), NYSE Regulation and other regulatory bodies. He has also represented clients in litigation in federal and state court and in FINRA and AAA arbitrations.
Mr. Reich has represented firms and individuals in investigations involving allegations of securities fraud, accounting fraud, market manipulation and insider trading, as well as alleged violations of federal laws and regulations and SRO rules regarding equities, municipal securities, issuer disclosure and reporting obligations under Regulation FD and Sarbanes-Oxley Act Section 404, FINRA registration, sales practices involving securities and insurance products (including New York State Insurance Regulation 60), research restrictions, private securities transactions, outside business activities, gifts, continuing education, trading by specialists (including trading ahead and interpositioning), short sales (including Regulation SHO), trade reporting, falsification of records, and failure to cooperate with regulators or to testify truthfully, among other issues. A large number of these investigations also involved allegations of inadequate broker-dealer supervision. Mr. Reich has succeeded in resolving many of these matters with no adverse action against the client.
Mr. Reich has represented clients in securities-related litigations and arbitrations involving alleged securities fraud (including class action defense), breach of contract, breach of fiduciary duty, unfair competition, theft of trade secrets, employment discrimination, unsuitable sales practices and inadequate supervision. He has also represented clients in commercial litigations unrelated to securities and broker-dealer matters.
Mr. Reich has played a leading role in BakerHostetler’s work as Third Party Examiner monitoring remediation programs implemented by several major national and regional broker-dealers, arising from settlements with FINRA involving mutual fund sales practices. He also represented an association of NYSE floor brokers in the SEC comment process and in litigation regarding the NYSE’s “hybrid market” trading platform and merger with Archipelago Holdings Inc.
Mr. Reich has also represented clients in broker-dealer mergers and acquisitions, advising on applications for FINRA approval, SEC broker-dealer registration issues, state licensing requirements, disclosure obligations, due diligence and other issues.
Prior to joining BakerHostetler, Mr. Reich worked in regulatory enforcement at two of the nation’s major securities SROs. Immediately prior to joining the firm, he headed the Philadelphia Stock Exchange’s Enforcement Department, overseeing administration and directing the prosecution of violations of Exchange and SEC rules and the federal securities laws.
Previously, as Regional Counsel in the New York office of the NASD Department of Enforcement, Mr. Reich oversaw regulatory investigations and conducted disciplinary proceedings and appeals alleging violations of NASD, SEC and MSRB rules and the federal securities laws. In addition to numerous matters resolved by settlement, Mr. Reich conducted three successful evidentiary hearings before disciplinary panels and two successful appeals before the National Adjudicatory Council. He also advised the NASD staff regarding firms’ applications for approval to become NASD members, to change ownership or to expand business operations, as well as regarding statutory disqualification issues.
Mr. Reich is a member of the American Bar Association (Sections of Business Law and Litigation, Committee on Federal Regulation of Securities and Subcommittee on Civil Litigation and SEC Enforcement Matters). He is also a member of the Securities Industry and Financial Markets Association (SIFMA) Compliance & Legal Division and the New York City Bar Association.
10/30/2013 - Powers to Speak at Managed Funds Association Compliance 2013
6/28/2013 - D.C. Circuit Court Upholds Dodd-Frank Inspired Regulations Subjecting Mutual Funds That Invest in Commodities to CFTC Regulation
3/28/2013 - SEC Staff Advises SOX 402 Is No Bar to Proposed Compensation Plan Incorporating Loans to Officers From Independent Lender
Hedge Fund Industry Practice Overview
Third Circuit Holds Rule 10b-5 Violations May Be Imputed to Investment Management Company on Basis of Apparent Agency
JOBS Act Update
CFTC Grants Limited Relief to Family Offices From Commodity Pool Operator Registration