Bear Stearns has tapped Beth Golden, deputy of special projects for New York Attorney General Eliot Spitzer, to oversee its global compliance efforts.
Golden, who joined Spitzer's office in 1999, is credited for brokering settlements between the Securities and Exchange Commission and numerous firms that Spitzer's office had investigated for improper mutual fund trading and tainted financial research, Bloomberg News reports.
Bear Stearns, which is still waiting for criminal and civil investigations into its role in facilitating a pattern of unlawful mutual fund trades made by Canary Capital Partners, has a history of hiring regulators. After a prior investigation that started five years ago, Bear Stearns put former SEC market regulation director Richard Lindsey in charge of its clearing unit, which was under investigation at the time.
That investigation ultimately led to a $35 million settlement in which the SEC concluded that Bear Stearns had contributed to widespread fraud committed by A.R. Baron & Co., a now-defunct brokerage firm.