More On Legal & Compliancefrom The Advisor's Professional Library
- Regulatory Oversight of Investment Advisors Although the regulatory environment is in a state of flux, it is imperative that RIAs adhere to their compliance obligations. To ensure compliance, RIAs and IARs must fully understand what those obligations are.
- Do’s and Don’ts of Advisory Contracts In preparation for a compliance exam, securities regulators typically will ask to see copies of an RIAs advisory agreements. An RIA must be able to produce requested contracts and the contracts must comply with applicable SEC or state rules.
The former head of the International Monetary Fund, Dominique Strauss-Kahn, who stepped down in the midst of allegations of the rape of a New York chambermaid in 2011, is back in the news. This time it's in connection with a prostitution ring in his native France.
Strauss-Kahn is being held for questioning by French police in northern France, according to the BBC, in connection with an organized prostitution ring in which corporate funds were used to pay for sex. The case is known as the "Carlton affair" after the name of the Lille hotel in which clients were alleged to have been supplied with prostitutes.
While the charges were dropped in the New York case, several of the women involved in this case have admitted having sex with Strauss-Kahn. In addition, three of the eight male suspects are alleged to be connected with him. Strauss-Kahn has insisted that he did not know the women were prostitutes.
Paris-based Christian Fraser of the BBC has said that although there is no law against meeting with prostitutes, providing them to others and the misuse of corporate funds to pay for their services are both illegal activities.
Strauss-Kahn is alleged to have been a participant in sex parties in Washington and in Paris at the end of 2010 and beginning of 2011. One of the parties was allegedly organized by two of the suspects, Fabrice Paszkowski and David Roquet, and is thought to have occurred in the U.S. shortly before he was detained on the New York charge.
Prior to the eruption of the New York case last May, Strauss-Kahn was being considered as a possible Socialist candidate for this year's French presidential election in April.