Davis Polk partner Robert Cohen was recently quoted in the New York Times DealBook discussing stock buybacks. In a first-of-its-kind case, the SEC focused on a company's accounting controls around Rule 10b5-1 buybacks and imposed a $20 million fine. Cohen noted that the case may make the process of approving a buyback more complicated.
The article also references Davis Polk’s recent client memo, “Stock Buybacks Under 10b5-1 Plan Draw SEC Rebuke.”
“Stock Buybacks Are About To Get More Complicated,” The New York Times (October 20, 2020) (subscription required)