Ally Financial Inc. recently received a document request from the U.S. Securities and Exchange Commission in connection with an investigation related to subprime automotive finance and related securitization activities, the company said in 10-Q filing today.
An Ally spokeswoman wouldn’t comment much beyond what was revealed in the filing. “Ally has been requested to provide data and records relating to our auto finance activities and will respond accordingly to the SEC,” Ally spokeswoman Gina Proia wrote in an email to Auto Finance News.
Since 2013, Ally Financial has issued $6.7 billion in asset-backed securities, according to data from Deutsche Bank Securities Inc.
All SEC investigations are conducted privately, according to the SEC website. Typically, the SEC’s Enforcement Division obtains evidence of possible violations of securities laws from sources including market surveillance activities, investor tips and complaints, other divisions and offices of the SEC, the self-regulatory organizations, and other securities industry sources and media reports.
This latest move by a regulatory agency comes on the heels of last week’s revelation by General Motors Financial Co. in a 10-Q that it had been served with “additional investigative subpoenas to produce documents from state attorneys general and other governmental offices relating to our subprime auto finance business and securitization of subprime auto loans.”
