The Church of Jesus Christ of Latter-day Saints and its investment arm have been fined $5 million for using shell companies to obscure the size of the portfolio under church control, the U.S. Securities and Exchange Commission announced.
“We allege that the LDS Church’s investment manager, with the Church’s knowledge, went to great lengths to avoid disclosing the Church’s investments, depriving the Commission and the investing public of accurate market information,” Gurbir S. Grewal, the agency’s enforcement director, said in a statement.
The faith, widely known as the Mormon church, maintains billions of dollars of investments in stocks, bonds, real estate and agriculture. Much of its portfolio is controlled by Ensign Peak Advisers, a nonprofit investment manager overseen by ecclesiastical leaders known as its presiding bishopric. The church has agreed to pay $1 million and Ensign Peak will pay $4 million in penalties based on the violation.Federal investigators said for 22 years, the firm hadn’t filed required paperwork to disclose the value of some assets in violation of the Securities Exchange Act and agency rules.
Instead, they said, with the church’s knowledge, Ensign Peak filed the forms through 13 shell companies they created, even as they maintained decision-making power. They also had “business managers,” most employed by the church, sign the required shell company filings.
Norge Siste Nytt, Norge Overskrifter
Similar News:Du kan også lese nyheter som ligner på denne som vi har samlet inn fra andre nyhetskilder.
Church of Jesus Christ of Latter-day Saints, Its Investment Adviser Settle SEC ProbeThe Church of Jesus Christ of Latter-day Saints' money manager will pay $4 million to settle SEC claims of obscuring the church's investments
Les mer »
Natalie Brown: Facing lose-lose prospects, LDS scholars need better support from their churchTribune guest columnist Natalie Brown writes about how The Church of Jesus Christ of Latter-day Saints and BYU could help LDS scholars succeed.
Les mer »
Why so many Latter-day Saints fall for Ponzi schemesFor decades, Latter-day Saints have been seen as particularly vulnerable to Ponzi schemes. A 1982 article on the subject, titled, “Mormon Utah Called a Test Market for Scams,' stated that “church affiliation” can give members a false sense of security.
Les mer »
‘Mormon Land’: Would Latter-day Saints be upset if they knew all about their church’s wealth?'Mormon Land': Sam Brunson, a popular Latter-day Saint blogger and a tax law professor at Loyola University Chicago, examines the faith’s financial practices, the increased federal scrutiny it faces, and how leaders could put the issue to rest.
Les mer »
Feds fine Mormon church for illicitly hiding $32 billion investment fund behind shell companiesNEW: The Church of Jesus Christ of Latter Day Saints and a nonprofit entity that it controlled have been fined $5 million by the SEC over accusations that the religious institution failed to properly disclose a multibillion-dollar investment fund.
Les mer »
Church settles case with SEC over financial reportingThe Church of Jesus Christ of Latter-day Saints and the company that manages its stock investments have agreed to pay a combined $5M offer of settlement for past financial reporting practices in an order released by the Securities and Exchange Commission.
Les mer »