The SEC’s Division of Enforcement plans to create teams that will focus on specific kinds of fraud. The WSJ reports that SEC Enforcement Director Robert Khuzami confirmed that the plans were discussed last week at a staff meeting but are not yet final.
Presently, the Enforcement staff function as generalists, handling all types of cases. Khuzami stated that the specialization will make the agency “more smart, more swift and more successful…. “By better understanding products, markets and transactions…we can better identify trends and patterns.”
The WSJ adds that inside the SEC, “the overhaul is meeting with some misgivings among staff who fear a specialized system would be unruly to manage and pigeonhole lawyers into narrow fields within securities law. Others are excited about the changes.”