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civil money penalty

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Financial Dictionary

Civil Money Penalty - CMP

A punitive fine imposed by a civil court on an entity that has profited from illegal or unethical activity. The Securities and Exchange Commission imposes civil money penalties that are usually equal to the gains made from whatever activity it has deemed to be illegal or unethical.

Investopedia Commentary

Civil money penalties are not limited to securities law violations. They may be imposed to punish individuals or organizations for violating a variety of laws or regulations.

Related Links

Policing The Securities Market: An Overview Of The SEC
Handcuffs And Smoking Guns: The Criminal Elements Of Wall Street
Defining Illegal Insider Trading

See also: Cook the Books, Disgorgement, Fair Funds for Investors, Forensic Accounting, Insider Trading, Securities and Exchange Commission - SEC

Also spelled: Civil Monies Penalty, Civil PenaltyCMP

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