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SALT LAKE CITY (AP)The Church of Jesus Christ of Latter-day Saints and its investment arm have been fined $5 million for using shell companies to obscure the The Church of Jesus Christ of Latter-day Saints and Ensign Peak Advisors Inc, the church's non-profit investment manager, have agreed to pay a $5 million fine to the The Church of Jesus Christ of Latter-day Saints and a nonprofit entity that it controlled have been fined $5 million by the Securities and Exchange Commission over On Febru, theUnited States Securities and Exchange Commission(SEC) chargedthe Church of Jesus Christ of Latter-day Saints(LDS Church) and its non-profit investment arm,Ensign Peak Advisors(EP), for failing to disclose the LDS Church's investments, and instead creatingshell companieswhose purpose was to obscure the church's portfolio. The SEC further charged that the forms that were filed by the shell companies deliberately concealed the amount of control that E

SEC Charges Mormon Church, Fines $5 Million for Hiding $32 Billion Investment Portfolio

SALT LAKE CITY (AP) - The Church of Jesus Christ of Latter-day Saints and its investment arm, Ensign Peak Advisors Inc., have been embroiled in a controversy that has led to a $5 million fine from the Securities and Exchange Commission (SEC). The charge? Obscuring the church's massive $32 billion investment portfolio through the use of shell companies.

SEC Accusations: Deliberate Concealment

On February [DATE - add current date here], the United States Securities and Exchange Commission (SEC) charged The Church of Jesus Christ of Latter-day Saints (LDS Church) and its non-profit investment arm, Ensign Peak Advisors (EP), for failing to disclose the LDS Church's investments. The SEC further charged that the forms that were filed by the shell companies deliberately concealed the amount of control that Ensign Peak exercised.

According to the SEC, the Church of Jesus Christ of Latter-day Saints and Ensign Peak Advisors Inc, the church's non-profit investment manager, have agreed to pay a $5 million fine to settle the charges. The agency alleges that the Church of Jesus Christ of Latter-day Saints and a nonprofit entity that it controlled have been fined $5 million by the Securities and Exchange Commission over the creation of shell companies.

Why the Shell Companies?

The SEC's investigation revealed that these shell companies were specifically created whose purpose was to obscure the church's portfolio. This practice allegedly allowed the LDS Church to avoid public scrutiny of its investment holdings, which totalled approximately $32 billion. The lack of transparency surrounding such a large investment fund raised significant concerns among regulators.

What's Next?

The $5 million fine represents a significant penalty, but the long-term implications for the Church of Jesus Christ of Latter-day Saints and its investment practices remain to be seen. This SEC action highlights the importance of transparency and accurate disclosure in financial markets, particularly for large institutions with significant assets under management. The case continues to generate discussions about ethical considerations and the role of religious organizations in the world of finance.

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