SEC Team Leader Who Handled High-Profile Crypto Cases Leaves Agency for Jones Day to Head as Blockchain Partner
A former regional director at the U.S. Securities and Exchange Commission (SEC), Shamoil T. Shipchandler, has resigned his position at the SEC for Jones Day, a global law firm. Shipchandler, who supervised a large number of high-profile crypto cases, was in charge of more than a hundred attorneys, accountants, investigators and compliance examiners at the SEC.
Shamoil T. Shipchandler, Regional Director of the SEC’s Fort Worth Regional Office, has left the agency https://t.co/yg8uJUrjwT
— SEC_News (@SEC_News) January 28, 2019
One of his most notable cases was the action taken against AriseBank, a prospective token issuer, and 1Broker, a bitcoin futures firm.
Shipchandler’s position at Jones Day will begin at the end of February. He is to become a partner at the firm, situated in Dallas. However, there is no verifiable information about what exactly he would be handling at the firm.
About Jones Day
One of the most noteworthy of the firm’s endeavors is its public support and backing of tZERO – which is a security trading platform – since its inception. Jones Day is also known for its knowledge and proficiency with regards to the effects and legal results of ICOs as well as smart contracts.
According to the partner-in-charge of the Dallas Office of Jones Day, Hilder Galvan, the firm hopes to utilize Shipchandler’s skill and know-how for their own activities. Speaking during the announcement of Shipchandler’s appointment, she said:
“Shamoil’s valuable experience furthers our world-class depth in white collar, securities, and data privacy and cybersecurity law practice in Texas and beyond.”
Shipchandler At The SEC
In January 2018, the SEC arrested the CEO of AriseBank for securities and wire fraud, consequently stifling their Initial Coin Offering (ICO). This was done because AriseBank allegedly made false claims that it would offer bank accounts and credit/debit cards that were insured by the Federal Deposit Insurance Corporation (FDIC). Months later, charges were settled by the CEO and COO, reaching a compromise to pay penalties of more than $3million.
Also, in September, 1Broker ( also called 1Pool Ltd), was sued for selling security-based swaps to the U.S. and international investors. According to Shipchandler at the time,
“International companies that transact with U.S. investors cannot circumvent compliance with the federal securities laws by using cryptocurrency,”