The SEC previously charged Plaford and Lumiere, and the former FDA official, among others, for their misconduct, in an enforcement action filed in June 2016. The former CMS employee was charged for other misconduct in May 2017. Earlier this year, the SEC barred Lumiere from the securities industry based on a final judgment entered against him in the SEC's case as well as his conviction in a parallel criminal case. The SEC's case against Plaford has been stayed pending the completion of a parallel criminal case. Advisory firms must create a culture of zero tolerance when it comes to unlawful conduct, and supervisors at those firms must take reasonable measures necessary to detect and prevent securities law-related violations by their personnel," said Marc P. Berger, Director of the SEC's New York Regional Office. "Here Visium's portfolio managers engaged in illegal asset mismarking and insider trading, and Ku failed to act in the face of red flags that should have exposed the asset mismarking scheme.