SEC Enforcer: ‘You Bet’ There Will Be More Sweeps — Financial Advisor IQ

Grewal is working to quicken the pace of investigations, noting that when he started with the SEC the average length of an investigation was 24 months. Grewal was appointed director of the Division of Enforcement in 2021.

“It’s important for accountability, for public trust to move those investigations more quickly, and it’s important for the people under investigation — you don’t want to hang under a cloud of suspicion for two years when we can move a matter more quickly,” he said at the conference.

To that end, not every case will get a Wells meeting with the director or deputy director, according to Grewal, referring to a process by which the regulator can interact with people or firms who are likely to be on the receiving end of an enforcement action after an SEC investigation.

“Unless there’s really a real factual dispute, a novel legal issue or an area of programmatic concern, you’re not going to get a meeting with the director or the deputy,” he said at the conference.

Source: SEC Enforcer: ‘You Bet’ There Will Be More Sweeps — Financial Advisor IQ