US Sentencing Guidelines: A Cornerstone of Hedge Fund Compliance Practices

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Clik here to view.Compliance regulations couldn’t get any more press than they do today, given the almost daily raft of new SEC and Treasury rules. However, ever stop to wonder what the backbone of compliance law is? The answer is the US Sentencing Guidelines, which were enacted in 1991 and later amended in 2004. These Guidelines set forth sentencing recommendations for a variety of criminal offenses– including those for “organizations” (such as a hedge fund). Thus, if a hedge fund were to have been convicted of engaging in criminal conduct, the court would look to the Sentencing Guidelines for a recommendation on penalties.