In re Thomas C. Bridge
The SEC alleged that Thomas C. Bridge used deceptive means to execute market timing trades in violation of Sections 17(a) and 10(b)/Rule 10b-5, while branch managers James D. Edge and Jeffrey K. Robles failed to reasonably supervise Bridge and Charles Sacco, respectively, triggering administrative proceedings with potential sanctions pending a hearing.
The SEC charged Thomas C. Bridge with willfully violating Section 17(a) of the Securities Act and Section 10(b) and Rule 10b-5 of the Exchange Act by using deceptive means to place market timing trades on behalf of a customer. Branch manager James D. Edge was accused of failing to reasonably supervise Bridge, and Jeffrey K. Robles was charged with failing to supervise Charles Sacco, who allegedly engaged in similar fraudulent market timing for two other clients. The SEC initiated administrative and cease-and-desist proceedings seeking sanctions such as censure, fines, or industry bars, with an initial decision due within 300 days, though no monetary penalties or admissions were specified at the time of filing.
On May 2, 2007, the U.S. Securities and Exchange Commission issued an Order Instituting Administrative and Cease-and-Desist Proceedings against Thomas C. Bridge, James D. Edge, and Jeffrey K. Robles for violations of federal securities laws related to market timing fraud at A.G. Edwards branch offices. Bridge, a registered representative in Boca Raton, Florida, was alleged to have used deceptive means to execute market timing trades on behalf of a customer, willfully violating Section 17(a) of the Securities Act and Section 10(b) and Rule 10b-5 of the Exchange Act. Branch manager James D. Edge was charged with failing to reasonably supervise Bridge, while Jeffrey K. Robles, as branch manager in Boston, was accused of failing to supervise Charles Sacco, another registered representative who allegedly engaged in similar deceptive market timing trades for two clients. The SEC did not specify dollar amounts or admit guilt in the filing, focusing instead on the deceptive nature of the conduct and supervisory failures. Administrative proceedings were initiated under Sections 8A, 15(b), 21C, and 9(b) of the relevant securities laws, with sanctions potentially including censure, fines, or industry bars. A hearing before an Administrative Law Judge was scheduled to determine the truth of the allegations and appropriate penalties, with an initial decision required within 300 days of service of the Order. No final outcome was determined at the time of the order, as the matter remained pending adjudication.
Extracted insights
- person administrative law judge
- person charles sacco
- person james d. edge
- person jeffrey k. robles
- agency Securities and Exchange Commission
- person thomas c. bridge
- SEC issued Order Order Instituting Administrative and Cease-and-Desist Proceedings against Thomas C. Bridge, James D. Edge, and Jeffrey K. Robles on May 2, 2007
- Thomas C. Bridge violated Section 17(a) of the Securities Act, Section 10(b) of the Exchange Act and Rule 10b-5
- Thomas C. Bridge used deceptive means to place market timing trades on behalf of a customer
- Thomas C. Bridge was registered representative at A.G. Edwards & Sons, Inc. Boca Raton, Florida branch office
- James D. Edge failed reasonably to supervise Thomas C. Bridge
- James D. Edge was branch manager at A.G. Edwards & Sons, Inc. Boca Raton and Lake Worth, Florida branch offices
- Jeffrey K. Robles failed reasonably to supervise Charles Sacco
- Jeffrey K. Robles was branch manager at A.G. Edwards & Sons, Inc. Boston Back Bay, Massachusetts branch office
- Charles Sacco violated federal securities laws by using deceptive means to place market timing trades
- Charles Sacco was registered representative at A.G. Edwards & Sons, Inc. Boston Back Bay, Massachusetts branch office
- Administrative Law Judge shall issue initial decision within 300 days from date of service of the Order
- SEC released Securities Act Release No. 8798 on May 2, 2007
- SEC released Securities Exchange Act Release No. 55695 on May 2, 2007
- SEC released Investment Company Act Release No. 27817 on May 2, 2007
United States Securities and Exchange Commission Securities Act of 1933 Release No. 8798 / May 2, 2007 Securities Exchange Act of 1934 Release No. 55695 / May 2, 2007 Investment Company Act of 1940 Release No. 27817 / May 2, 2007 Administrative Proceeding File No. 3-12626 In the Matter of Thomas C. Bridge, James D. Edge, and Jeffrey K. Robles On May 2, 2007, the United States Securities and Exchange Commission (Commission) issued an Order Instituting Administrative and Cease-and-Desist Proceedings Pursuant to Section 8A of the Securities Act of 1933, Sections 15(b) and 21C of the Securities Exchange Act of 1934 and Section 9(b) of the Investment Company Act of 1940 (Order) against Thomas C. Bridge (Bridge), James D. Edge (Edge) and Jeffrey K. Robles (Robles) (collectively, the Respondents). In the Order, the Division of Enforcement (Division) alleges that Bridge, a registered representative at the Boca Raton, Florida branch office of A.G. Edwards & Sons, Inc. (AG Edwards), violated certain provisions of the federal securities laws by using deceptive means to place market timing trades on behalf of a customer. The Division also alleges that Edge, the branch manager at AG Edwards’ Boca Raton and Lake Worth, Florida branch offices, failed reasonably to supervise Bridge. The Division further alleges that Robles, the branch manager at AG Edwards’ Boston Back Bay, Massachusetts branch office, failed reasonably to supervise Charles Sacco (Sacco), a former registered representative in that office who the Division alleges violated certain provisions of the federal securities laws by using deceptive means to place market timing trades on behalf of two customers. The Division alleges that Bridge willfully violated Section 17(a) of the Securities Act, Section 10(b) of the Exchange Act and Rule 10b-5 thereunder. The Division also alleges that Edge and Robles failed reasonably to supervise Bridge and Sacco, respectively, with a view to preventing their violations of the federal securities laws. A hearing will be scheduled before an Administrative Law Judge to determine whether the allegations contained in the Order are true, to provide the Respondents an opportunity to dispute the allegations and to determine what sanctions, if any, are appropriate and in the public interest. The Commission directed that an Administrative Law Judge shall issue an initial decision no later than 300 days from the date of service of the Order, pursuant to Rule 360(a)(2) of the Commission’s Rules of Practice.
United States Securities and Exchange Commission Securities Act of 1933 Release No. 8798 / May 2, 2007 Securities Exchange Act of 1934 Release No. 55695 / May 2, 2007 Investment Company Act of 1940 Release No. 27817 / May 2, 2007 Administrative Proceeding File No. 3-12626 In the Matter of Thomas C. Bridge, James D. Edge, and Jeffrey K. Robles On May 2, 2007, the United States Securities and Exchange Commission (Commission) issued an Order Instituting Administrative and Cease-and-Desist Proceedings Pursuant to Section 8A of the Securities Act of 1933, Sections 15(b) and 21C of the Securities Exchange Act of 1934 and Section 9(b) of the Investment Company Act of 1940 (Order) against Thomas C. Bridge (Bridge), James D. Edge (Edge) and Jeffrey K. Robles (Robles) (collectively, the Respondents). In the Order, the Division of Enforcement (Division) alleges that Bridge, a registered representative at the Boca Raton, Florida branch office of A.G. Edwards & Sons, Inc. (AG Edwards), violated certain provisions of the federal securities laws by using deceptive means to place market timing trades on behalf of a customer. The Division also alleges that Edge, the branch manager at AG Edwards’ Boca Raton and Lake Worth, Florida branch offices, failed reasonably to supervise Bridge. The Division further alleges that Robles, the branch manager at AG Edwards’ Boston Back Bay, Massachusetts branch office, failed reasonably to supervise Charles Sacco (Sacco), a former registered representative in that office who the Division alleges violated certain provisions of the federal securities laws by using deceptive means to place market timing trades on behalf of two customers. The Division alleges that Bridge willfully violated Section 17(a) of the Securities Act, Section 10(b) of the Exchange Act and Rule 10b-5 thereunder. The Division also alleges that Edge and Robles failed reasonably to supervise Bridge and Sacco, respectively, with a view to preventing their violations of the federal securities laws. A hearing will be scheduled before an Administrative Law Judge to determine whether the allegations contained in the Order are true, to provide the Respondents an opportunity to dispute the allegations and to determine what sanctions, if any, are appropriate and in the public interest. The Commission directed that an Administrative Law Judge shall issue an initial decision no later than 300 days from the date of service of the Order, pursuant to Rule 360(a)(2) of the Commission’s Rules of Practice.