Marlon Paz is head of Mayer Brown’s Broker-Dealer Regulation & Compliance practice. He counsels broker-dealers and other financial services firms in matters related to securities regulation, SEC and FINRA enforcement, internal investigations and examinations, and compliance. Marlon also provides advice with respect to acquisitions of securities broker-dealers and investment advisers.
Marlon is regularly engaged in complex matters for his substantive expertise in a variety of regulatory issues under SEC, FINRA, and SRO rules, on matters concerning “status” and registration requirements, particularly Rule 15a-6; financial responsibility issues; short sale regulation; automated trading and risk; sales practice rules; privacy; Regulation ATS considerations; Regulation M considerations; soft-dollar matters; clearance and settlement issues; credit rating agency regulations; insider trading policies and procedures; and rules relating to self-regulatory organizations (SROs). Marlon was one of the key people involved in these rulemaking initiatives, during his six-year tenure at the Securities and Exchange Commission. Marlon played a key role in developing the SEC’s positions on many important regulatory and enforcement matters.
Marlon has spent a number of years in private practice, focusing on complex securities litigation, corporate and fiduciary litigation, and corporate finance matters. In addition, Marlon served as the Principal Integrity Officer of the Inter-American Development Bank, where he led a team of lawyers and investigators in the development, investigation and prosecution of fraud and corruption cases, and had oversight over compliance procedures relating to issues such as integrity due diligence, anti-money laundering, offshore financial centers, and the Office of Foreign Assets Control Specially Designated Nationals List.
Marlon is a member of the adjunct faculty of Georgetown University Law Center, where he teaches courses on US regulation of financial institutions and securities markets, securities law and the internet, and international business litigation. In addition, Marlon is a frequent speaker on federal securities law issues.
Marlon serves as the Chair of the Trading and Markets subcommittee of the Business Law Section of the American Bar Association and as the General Counsel to the District of Columbia Bar, the largest mandatory association of lawyers in the United States. He has been recognized as one of the “100 Most Influential U.S. Hispanics” by Hispanic Business Magazine. He is a past president of the Hispanic Bar Association of D.C. and a former national vice-president of the Hispanic National Bar Association. He has been honored with the Leadership Award from the Hispanic National Bar Foundation and appointed an ambassador by the American Bar Association Business Law Section.
Select Experience with SEC – Releases and Commission Initiatives
- Status as broker-dealer and registration requirements, particularly Rule 15a-6, Exemption of Certain Foreign Brokers or Dealers, 73 FR 39182 (Jul. 8, 2008); Application of the Investment Advisers Act of 1940 to broker-dealers.
- Interpretive/no action request under Regulation ATS.
- Short sale regulation and disclosure of short selling activity by money managers, such as Regulation SHO; Rule 10a-3T and Form SH, 73 FR 61678 (Oct. 17, 2008); short sale price tests. Regulation M – Anti-manipulation Rules Concerning Securities Offerings, Rule 105 – Short Selling In Connection With A Public Offering, 71 FR 75002 (Dec. 13, 2006).
- Use of soft-dollars by money managers – Commission Guidance Regarding Client Commission Practices Under Section 28(e) of the Securities Exchange Act of 1934, 71 FR 41978 (Jul. 24, 2006).
- Clearance and settlement – The Roundtable on Proxy Voting Mechanics.
- Broker-dealer financial responsibility issues – Rule 15c3-1 (net capital) and Rule 15c3-3 (customer protection); Rules 17h-1T and 17h-2T (risk assessment); prime brokerage; PCAOB registration of broker-dealer auditors.
- Regulations of credit rating agencies – Proposed Rules for Nationally Recognized Statistical Rating Organizations, 74 FR 63866 (Dec. 4, 2009); References to Ratings of Nationally Recognized Statistical Rating Organizations, 74 FR 52374 (Oct. 9, 2009); SEC Roundtable to Examine Oversight of Credit Rating Agencies, 74 FR 17698 (April 16, 2009).
- Insider Trading Policies and Procedures – Section 15(f), Broker-Dealer Policies and Procedures Designed to Segment the Flow and Prevent the Misuse of Material Nonpublic Information.
- Self-Regulatory Organizations – Commission Guidance and Amendment to the Rules Relating to Organization and Program Management Concerning Proposed Rule Changes Filed by Self-Regulatory Organizations, 73 FR 40144 (July 11, 2008).
Select Representative Litigation Matters
- SEC enforcement action against certain registered broker-dealers and their executives charging fraud for failure to provide best execution.
- SEC enforcement action against large fund manager and its senior executives for improperly accepting travel, entertainment, and other gifts paid for by outside broker-dealers courting trading business generated by the money manager on behalf of mutual funds.
- SEC enforcement action against British trader charged with insider trading in United States using derivatives.
- SEC enforcement action involving backdating of stock option grants. SEC enforcement action against a hedge fund for market manipulation.
- SEC enforcement actions against a life insurance company and its senior vice president for their roles in a late trading and market timing scheme.SEC enforcement action against certain financial professionals engaged in a Ponzi scheme. SEC enforcement action against publicly traded Mexican media company and its senior executive involving fraud, books and record violations and internal control deficiencies.
- SEC enforcement action against trader for fraudulent trading scheme involving inverse floating rate collateralized mortgage obligations.
- SEC enforcement action against broker-dealer for its involvement in fraud and unregistered offering of securities
- Represented public pension fund in class action litigation alleging fraud by large publicly traded telecommunications company.
- Represented hedge fund in class action securities litigation alleging fraud by a large Italian dairy company.
Georgetown University Law Center, LLM, with distinction, Securities and Financial Regulation
Trinity College, BA
University of Pennsylvania Law School, JD
Wesleyan University, MA
- District of Columbia
- New York
- American Bar Association, Business Law Section, Federal Securities Regulation Committee, (Chair, Trading and Markets Subcommittee); International Business Law Committee (Chair, International Banking and Finance Subcommittee).
- American Bar Foundation (Fellow)
- Hispanic National Bar Foundation (former Director)
- Hispanic National Bar Association (National Vice President)
- Hispanic Bar Association of the District of Columbia (Past President)
- Delaware Bar Foundation (Former Director)
- Multicultural Judges and Lawyers, Delaware Bar Association (Former Vice-Chair)
- Named to Washington DC Super Lawyers (2013-2019)
- Recognized as one of the Top 20 Latino Leaders Under 40, Latino Leaders Magazine (2010)\
- Named one of the 100 Most Influential U.S. Hispanics, Hispanic Business Magazine (2008
- Equal Employment Opportunity Award, U.S. Securities and Exchange Commission (2008)
- Rising Legal Star, Hispanic Bar Association of the District of Columbia (2006)
- Ambassador, American Bar Association, Section of Business Law (2006)
- Regional President of the Year Award, Hispanic National Bar Association (2006)