The bill introduced by Sen. Jack Reed, D-R.I., and Sen. Charles Grassley, R-Iowa, that would give the SEC the power to levy heavier penalties for violating securities law is a step in the right direction.
But the legislation is unlikely to substantially deter fraud in the financial services industry, because — like most criminals — people who break securities law don’t expect to get caught. In fact, most violations are probably never discovered and those committing them are never punished.
‘Enforcement 40’ for 2020
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