CIBC Mellon controversies
Controversies tied to this brand in public sources. A listing is not a finding of fault.
Back to profile2 entries
2005
SEC action concerning Pay Pop securities
An employee in CIBC Mellon’s Vancouver office agreed to issue Pay Pop Inc. shares without the required disclaimer concerning SEC registration. The SEC alleged unregistered broker, transfer-agent and securities-offering activity. CIBC Mellon Trust Company paid a US$5 million civil penalty, US$889,773 in disgorgement and US$140,270 in prejudgment interest, and accepted related injunction and compliance-review requirements. The company consented to the order without admitting or denying the allegations.
2004
Disclosure of institutional holdings by employee
A long-serving employee was dismissed after an investigation found that institutional holdings information had been disclosed to unidentified parties over an extended period in exchange for sports tickets and cash. The incident raised confidentiality and internal-control concerns.