The SEC has fined and censured the adviser to an Internet fund for failing to file the proper Y2K forms.
WWW Advisors of Lexington, Ky., adviser to the WWW Internet Fund, has agreed to pay a $5,000 fine to settle SEC charges that the firm did not file a form due Dec. 7, 1998, describing the readiness of WWW Advisors' computer systems for the transition to the year 2000. The SEC settled the case on March 9, according to court papers filed in the matter. WWW Advisors neither admitted nor denied the allegations in settling the case.
The SEC, in 1998, adopted rules requiring fund advisers and others to file reports periodically explaining their level of preparation for the computer programming transition from Dec. 31, 1999 to Jan. 1, 2000. WWW Advisors did not file the report, known as an ADV-Y2K, despite notices from the SEC, according to the SEC's allegations.
Executives at WWW Advisors did not return a call seeking comment. WWW Internet Fund had assets of $101 million as of Dec. 31, according to information on the fund's website.
