Former SEC counsel David Becker rejoins old firm amid Madoff scrutiny

Former SEC counsel David Becker rejoins old firm amid Madoff scrutiny
David Becker, who quit as Securities and Exchange Commission general counsel before he was sued over inherited profits from Bernard Madoff's fraud, has rejoined the law firm where he worked before taking the SEC post.
OCT 28, 2011
David Becker, who quit as Securities and Exchange Commission general counsel before he was sued over inherited profits from Bernard Madoff's fraud, has rejoined the law firm where he worked before taking the SEC post. Becker, 63, returned to Cleary Gottlieb Steen & Hamilton LLP to focus on securities enforcement, corporate governance, internal investigations and financial regulation, the firm said today in a statement. Becker, who will be based in Washington, left the SEC in February after two years in the position. SEC Chairman Mary Schapiro has faced scrutiny stemming from a lawsuit filed by Irving H. Picard, the bankruptcy court trustee unwinding Madoff's business, a week after Becker announced plans to leave the agency. The suit demands that Becker and his brothers return $1.5 million in what Picard called fictitious profits from liquidating their mother's account three years before the Ponzi scheme unraveled. Congressional lawmakers and SEC Inspector General H. David Kotz have begun investigations into why Becker was permitted to work on Madoff matters at the SEC even though he had personal ties to the case. Becker, who returned to the SEC two months after Madoff was arrested in December 2008, has said his involvement was cleared by the agency's ethics office. He has said his departure was unrelated to the Picard lawsuit. Becker had also served as SEC general counsel before his previous stint at Cleary Gottlieb, which began in 2002. He worked at the firm until 2009, when Schapiro tapped him to help guide the agency through the pending financial regulatory overhaul and cope with lawmakers' criticism of perceived missteps including its failure to spot Madoff's fraud. Madoff pleaded guilty in 2009 to charges related to his decades-long Ponzi scheme and is serving a 150-year sentence in federal prison. --Bloomberg News--

Latest News

Private credit becoming 'big piece' of annuities, T. Rowe exec says
Private credit becoming 'big piece' of annuities, T. Rowe exec says

Goldman Sachs retirement survey finds 83% want guaranteed income, while the annuities providing that income increasingly hold private credit.

Zocks debuts Claude plugin with seven skills for financial advisors
Zocks debuts Claude plugin with seven skills for financial advisors

The AI meeting assistant's Advisor Intelligence plugin turns client conversation data into annual reviews, tax scans and attrition alerts.

Stifel settles massive $30 million complaint involving star broker’s sale of structured products
Stifel settles massive $30 million complaint involving star broker’s sale of structured products

Chuck Roberts and Stifel have been facing scrutiny due to sales of structured products and structured notes.

SEC floats CFP route to accredited investor status, fund rules refresh amid private market push
SEC floats CFP route to accredited investor status, fund rules refresh amid private market push

Among other updates, the proposals would let advisors to regulated funds earn performance fees and allow interval funds to offer monthly repurchases.

The Year Is 2046 and I’m a Financial Advisor 
The Year Is 2046 and I’m a Financial Advisor 

What will financial advice look like 20 years from now? Evan Vladem explores how AI may transform wealth management while reinforcing the enduring value of human guidance, trust, and empathy. 

SPONSORED In the Age of AI, Trust Becomes the Advisor's Greatest Asset

As AI makes financial information more accessible than ever, Lana Hock explains why human judgment, trust, and empathy remain the qualities clients value most in a financial advisor

SPONSORED Direct indexing webinar targets tax-loss harvesting amid market swings

Northern Trust’s Ken Lassner shows advisors how to convert volatility into after-tax portfolio gains