William E.
Sweeney, CFE
Compliance Investigations Manager
Office of Corporate and Regulatory Compliance
THE DEPOSITORY TRUST AND CLEARING CORPORATION
New York, New York
DTC, as the U.S. central securities depository, provides custody and
asset servicing for over 3.6 million issues from the U.S. and 121
other countries and territories and for its participating bank and
broker/dealer firms (“participants”). As such, DTC is able to
aggregate deposit activity across its bank and broker-dealer
participants and identify patterns, trends, and large share deposits
that generally correlate from new share issuance.
Although DTC does not have a direct relationship with the underlying
registered holders of the securities, through its unique position,
DTC is able to identify corporate entities and individuals
associated with suspicious patterns of deposit activities
correlating to promotional schemes, market manipulation, debt
financing, and improper or over issuance of shares micro-cap
securities.
Attendees will learn and receive an overview of DTC’s processes,
various fraud schemes, and how DTC utilizes its information to
detect those fraud schemes.
