SEC v DUFF & PHELPS INVESTMENT MANAGEMENT CO., et al


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Keywords & Phrases

CaseNo: IA-1984, Defendant: Duff & Phelps Investment Management Co., Inc. Release Nos.: IC-25200, 3-10606, Plaintiff: SEC, UniqueCaseRef: SEC>IA-1984, Duff, Commission, Investment, Advisers Act, Exchange, Company Act, Management, Client, East West, Securities, Brokerage, Pension Consultant, United States, Administrator, Pursuant, Form Adv, Client Referrals, Arrangements, Respondent, Duff Salesman, Lexis, Order Instituting Proceedings, Making Findings, Remedial Sanctions, Cease-and-desist Order, Money Order, Amendments, Soft Dollars, Commission Staff, Boston District Office , ContentID: 120246982

Case Documents

2001-09-28

SEC ADMINISTRATIVE PROCEEDING
[ see first page and extracted highlights below ] ItemID: 117132

16 pages
HTML

Total Documents: 1 document , 16 pages

Price: $ 19.95

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1 . SEC ADMINISTRATIVE PROCEEDING

EXTRACTED KEY WORDS

COMMISSION
INVESTMENT
ADVISERS ACT
EXCHANGE
COMPANY ACT
MANAGEMENT
CLIENT
EAST WEST
SECURITIES
BROKERAGE
PENSION CONSULTANT
UNITED STATES
ADMINISTRATOR
PURSUANT
FORM ADV
CLIENT REFERRALS
ARRANGEMENTS
RESPONDENT
DUFF SALESMAN
LEXIS
ORDER INSTITUTING PROCEEDINGS
MAKING FINDINGS
REMEDIAL SANCTIONS
CEASE-AND-DESIST ORDER
MONEY ORDER
AMENDMENTS
SOFT DOLLARS
COMMISSION STAFF
BOSTON DISTRICT OFFICE

UNITED STATES OF AMERICA
Before the
SECURITIES AND EXCHANGE COMMISSION

INVESTMENT ADVISERS ACT OF 1940
RELEASE NO. 1984 / September 28, 2001

   INVESTMENT COMPANY ACT OF 1940
   RELEASE NO. 25200 / September 28, 2001

   ADMINISTRATIVE PROCEEDING
   File No. 3-10606
     _________________________________________________________________

   In the Matter of

   DUFF & PHELPS INVESTMENT
   MANAGEMENT CO., INC.,

     Respondent.
     _________________________________________________________________

   ORDER INSTITUTING PROCEEDINGS
   PURSUANT TO SECTIONS 203(e)
   AND 203(k) OF THE INVESTMENT ADVISERS
   ACT OF 1940 AND SECTION 9(f) OF THE
   INVESTMENT COMPANY ACT OF 1940,
   MAKING FINDINGS AND IMPOSING
   REMEDIAL SANCTIONS AND
   CEASE-AND-DESIST ORDER

                                     I.

   The Securities and Exchange Commission deems it appropriate and in the
   public interest that public administrative and cease-and-desist
   proceedings be instituted pursuant to Sections 203(e) and 203(k) of
   the Investment Advisers Act of 1940 ("Advisers Act"), and Section 9(f)
   of the Investment Company Act of 1940 ("Company Act") against Duff &
   Phelps Investment Management Co., Inc. ("Duff"), an investment adviser
   registered with the Commission.

                                    II.

   In anticipation of the institution of these proceedings, Duff has
   submitted an Offer of Settlement that the Commission has determined to
   accept. Solely for the purpose of these proceedings and any other
   proceedings brought by or on behalf of the Commission or in which the
   Commission is a party, and without admitting or denying the findings,

SNIPPETS:

INVESTMENT ADVISERS ACT OF 1940

INVESTMENT COMPANY ACT OF 1940, MAKING FINDINGS AND IMPOSING REMEDIAL SANCTIONS AND

The Securities and Exchange Commission deems it appropriate and in the public interest that

Solely for the purpose of these proceedings and any other proceedings brought by or on behalf below.

On the basis of this Order Instituting Proceedings Pursuant to Sections 203and 203of the

THE RESPONDENT

This proceeding is based on Duff's undisclosed direction of a total of $715,750 of advisory

Duff did not disclose to its clients its direction of brokerage in exchange for a client

Instead, during this same time period, Duff entered into a soft-dollar agreement with the

Pursuant to its arrangements, Duff continued to direct transactions to benefit East West

The Duff salesman had learned that East West had the ability to influence selection or

In mid-1994, Duff's policies, as stated in its Form ADV, provided that the firm would not

As explained in more detail below, Duff's amendments to Forms ADV filed with the Commission

Under this agreement, Duff agreed to pay a $100,000 annual fee with soft dollars to the

1997 SEC LEXIS 304 at *12; SEC v. Capital Gains Research Bureau, Inc.,

No. 131, 1998 SEC LEXIS 1877, citing United States v. Deutsch, 451 F.2d 98, 109 (2d Cir.

In determining to accept the Offer of Settlement, the Commission considered remedial acts


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