The four argued that the SEC was violating defendants’ First Amendment rights by essentially imposing gag orders that bar them from discussing the facts of cases. Though it was ultimately part of a losing effort (the high court declined to take the case a couple of months later), the critics’ decision to join forces captivated the securities bar. Some see it as akin to one of those James Bond villain meetings, or perhaps the teaming up of the Penguin, Riddler, Catwoman and the Joker – with a mission of going after the regulator.
How did it happen? Not by coincidence.
The story behind the Supreme Court brief begins with an organization called the Investor Choice Advocates Network, which was recently formed by alumni of the SEC’s enforcement unit who now work in private law practice….