The Securities and Exchange Commission announced on May 31st the filing of a civil action against Brocade Communications Systems, Inc., a San Jose, Calif., computer networking company, for falsifying its reported income from 1999 through 2004.

The Securities and Exchange Commission announced on May 29th that it will host a roundtable discussion next month on issues surrounding Rule 12b-1 under the Investment Company Act of 1940. Rule 12b-1 permits mutual funds to use fund assets to finance the distribution of their shares.

On May 23rd, The Securities and Exchange Commission unanimously approved interpretive guidance to help public companies strengthen their internal control over financial reporting while reducing unnecessary costs, particularly at smaller companies.

The Securities and Exchange Commission proposed on May 23rd a series of six measures to modernize and improve its capital raising and reporting requirements for smaller companies.

The Securities and Exchange Commission voted on May 23rd to adopt final rules to implement provisions of the Credit Rating Agency Reform Act of 2006 (Public Law No. 109-291), which was enacted on Sept. 29, 2006.

SEC Settles Charges Against Hewlett-Packard for Misleading Disclosures Arising Out of Company's Boardroom Leak Investigation

On May 10th the Securities and Exchange Commission charged Jennifer Xujia Wang, an employee of Morgan Stanley & Co., Inc., and her husband, Ruben Chen a.k.a. Ruopian Chen, a former employee of ING Investment Management Services, LLC, with insider trading.

On May 9th, the United States Securities and Exchange Commission announced settled fraud charges against Morgan Stanley & Co. Incorporated (Morgan Stanley) for its failure to provide best execution to certain retail orders for over-the-counter (OTC) securities.

The Investor and Capital Markets Fee Relief Act requires that the Commission make annual adjustments to the rates for fees paid under Section 6(b) of the Securities Act of 1933 and Sections 13(e), 14(g), and 31 of the Securities Exchange Act of 1934.

On May 7th, the Securities and Exchange Commission announced a settled administrative proceeding against Zurich Capital Markets Inc. (ZCM) for its role in providing financing to hedge fund clients that engaged in market timing of mutual funds and facilitating the hedge funds' deceptive trading tactics.

The Securities and Exchange Commission announced today the final agenda and participants for the Roundtable on the Federal Proxy Rules and State Corporation Law scheduled for May 7, 2007.

SEC, Federal Reserve Bank and Elder Law Journal to Present Senior Investor Protection Symposium May 18 in Chicago