The Securities and Exchange Commission is seeking to close a loophole which allows investors to gain inside information on collapsed companies. It has already fined a small bond trader for overstating his stake in WorldCom in order to join the creditors' committee.

Van Greenfield, a US citizen, and Blue River, a registered broker dealer with three employees managing Greenfield's family trust, agreed to pay a civil penalty of $150,000 (€127,000) to the SEC.