Yesterday’s Wall Street Journal ran a story about how some of the biggest banks are nearing agreements to pay as much as $200 million each because their employees used personal messaging apps such as WhatsApp to conduct business. This is a violated regulatory
Traders and brokers violated SEC and CFTC rules by using WhatsApp and other apps to discuss investment terms, client meetings and other business. Using such apps usurp compliance guidelines, which require the need for written communications to be monitored.
Despite the mandate to refrain from using messaging apps, the practice became more common during the early stages of the pandemic, when traders and brokers worked remotely.
Global Integrity is developing a secure communications platform purpose-built for financial services companies and other enterprises to secure all of its messaging while providing the controls necessary to meet regulatory requirements.
