Although the Commission will continue to devote resources to punishing individuals and entities that seek to capitalize on market disruptions caused by the pandemic even after Clayton departs, under a potential Democrat-led Commission, the Enforcement Division is likely to shift its focus to traditional Wall Street misconduct including insider trading, issuer reporting and accounting fraud, and Foreign Corrupt Practices Act violations. Under the Trump-led Commission, the volume of these historically “bread-and-butter” matters dropped significantly, including, most strikingly, the lowest level of insider trading enforcement since the Reagan administration.
‘Enforcement 40’ for 2020
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