The Securities and Exchange Commission may soon be confronting the adage “be careful what you wish for.”
A federal district judge has for the first time found that the agency’s use of an administrative judge to hear an insider trading case is unconstitutional. The decision could hurt the agency in a number of administrative enforcement actions, including cases against prominent defendants like the financier Lynn Tilton.
S.E.C. Finds Itself in a Constitutional Conundrum – The New York Times