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FINRA

 

For Release:
Contact:
Monday, June 24, 1996
Nancy A. Condon - (202) 728-8379

NASD Regulation Hires Barry R. Goldsmith,Chief SEC Litigator,to Head National Enforcement Department

Washington, D.C.--NASD Regulation, Inc., the regulatory arm of the National Association of Securities Dealers, today announced the appointment of Barry R. Goldsmith as the organization's Executive Vice President for Enforcement. Goldsmith is currently the Securities and Exchange Commission's (SEC) Chief Litigation Counsel.

 

Goldsmith successfully prosecuted many of the SEC's most significant cases, establishing ground-breaking applications of the Commission's remedies to combat securities fraud. They include SEC actions against: Michael Milken, Drexel Burnham Lambert, Victor Posner, Mark Belzberg and First City Financial Corp., and Paul Bilzerian. Collectively, the government has collected nearly $1 billion in fines, penalties, and disgorgements as the result of the success of these cases.

 

"In the securities industry today, there are a select few 'top cops' with the experience, knowledge, and integrity necessary to police the markets and make them safe for all investors--and Barry Goldsmith leads that list," said NASD Regulation President Mary L. Schapiro. "His extensive litigation expertise, coupled with a broad understanding of the securities laws and the industry, makes Barry the veteran hands-on leader NASD Regulation has been looking for."

 

Under a broad restructuring of NASD Regulation announced by Schapiro last month, the nation's largest self-regulatory organization will be strengthened through the consolidation of existing resources--and a multi-million dollar budget increase--into seven separate departments responsible for regulating the nation's 5,400-plus securities firms, and their more than 520,000 registered representatives. The seven major departments are: Enforcement, Member Regulation, Market Regulation, General Counsel, Dispute Resolution, Disclosure and Investor Protection, and Technology Services.

 

"Working at NASD Regulation as Executive Vice President for Enforcement is a unique opportunity to be part of an organization that is committed to developing a strong and effective national enforcement program," Goldsmith said. "I hope to help accomplish this goal by improving the effectiveness of the organization-wide enforcement effort, with a unified direction and purpose. I look forward to working with Mary Schapiro and the outstanding team of professionals she has assembled to accomplish this task."

 

The Enforcement Department is NASD Regulation's front-line investigative and prosecutorial arm, and houses its national team of attorneys and examiners. Goldsmith will serve as the organization's chief enforcement official and will formulate national enforcement policy, establish case management structure, and oversee the prosecution of disciplinary proceedings at the national and district levels.

 

"With more than a decade of experience trying cases and overseeing many of the SEC's most important and complex enforcement matters, Barry knows how to get the job done," said Mary Alice Brophy, Chairman of the Board of Directors, NASD Regulation. "I look forward to working with Barry in the coming months, as we continue to pursue our common goal of ensuring the integrity of the equities markets for everyone."

 

Goldsmith will assume his new position in August.

 

Goldsmith joined the SEC in 1986 as Assistant Chief Litigation Counsel. Two years later, he was promoted to Deputy Chief Litigation Counsel. From 1990-1993, he served as Senior Deputy Chief Litigation Counsel, and has been Chief Litigation Counsel since then. He is responsible for the conduct, supervision and management of all enforcement litigation conducted by the SEC. In 1994, Goldsmith received the Presidential Distinguished Rank Award, the highest award given to senior executives in the government.

 

Prior to joining the SEC, Goldsmith was a litigation partner with Bergson, Borkland, Margolis & Adler, a Washington-based law firm. After law school he served as a law clerk for a federal district court judge in Chicago.

 

Goldsmith received his J.D. from Georgetown University Law Center in 1975. He graduated with a B.S. degree in Economics, magna cum laude, from the University of Pennsylvania's Wharton School of Finance and Commerce in 1972.