Billionaire Kazakh Brokerage CEO Got SEC Enforcement Warning (1)

The billionaire head of Kazakhstan-based Freedom Holding Corp. has received a so-called Wells Notice from the US Securities and Exchange Commission, a formal warning that the Wall Street regulator may take enforcement action.

Chief Executive Officer Timur Turlov received the warning on March 11, the brokerage said in its annual financial report filed Monday.

The agency has been questioning the company and certain officers and directors officers since 2021, the firm said. The questions involve relationships with institutional market-maker customers and accounting practices related to internalized trades, the firm said.

“The Wells Notice we received is a procedural step ...