Citadel Securities LLC filed a lawsuit Friday accusing the company implementing the SEC’s market surveillance tool of spending tens of millions of dollars in fees “unlawfully collected” from Citadel Securities and other broker-dealers.
The complaint filed in the US District Court for the District of Columbia sought an injunction preventing Consolidated Audit Trail LLC, a private Delaware company charged with overseeing the financial market surveillance system set up by the Securities and Exchange Commission, from spending any of the $119 million in fees it holds in reserve.
CAT has been spending nearly $15 million per month, on track to deplete ...