The SEC’s Expedient “Follow-On” Rubber Stamp | LinkedIn

Think about it.  First the SEC sues you as an alleged lawbreaker and brands you as such in public news releases.  The agency then pursues years of contentious litigation trying to prove its allegations against you—all in a fiduciary attorney-client alliance with its staff prosecutors.  If it succeeds, it then seeks (and likely gets) a court injunction against you, insisting you will repeat your wrongdoing unless restrained.  And after issuing a self-congratulatory press release further demonizing you, it then cites the court injunction as predicate to launch a follow-on proceeding to bar or suspend you from the securities industry, assigning the same staff lawyers to prosecute the follow-on case and itself as the judge and jury that will decide the case.

And you’re then supposed to trust the SEC to magically pivot from being your years-long nemesis to becoming the neutral and objective adjudicator of your follow-on proceeding?  Right.

Guess how often the SEC ultimately decides that a follow-on bar or suspension is not in the public interest?  If you said rarely or never, go to the head of the class.

These sham proceedings violate core principles of due process, the most basic of which is a fair trial in a unbiased tribunal….

Source: The SEC’s Expedient “Follow-On” Rubber Stamp | LinkedIn