It was worth a try but, as predicted, a federal court has now dismissed one of the three lawsuits brought against the SEC last year for its alleged negligence in failing to detect the Bernard Madoff scheme. The dismissed case was brought by investors who alleged that the SEC breached a “duty of reasonable care to all members of the general public including all investors in U.S. financial markets who are foreseeably endangered by its conduct.” Full details are available in this post on my Enforcement Action blog over at Compliance Week.
