Tag: APs

Beware of Double Jeopardy in SEC Proceedings: SEC Roundup | ThinkAdvisor

Securities professionals beware. Following the conclusion of federal court litigation, the SEC may prosecute you a second time for the same conduct in a follow-on administrative proceeding seeking to bar you from your chosen profession. Hear from former SEC enforcement attorney and Assistant U.S. Attorney Keri Axel as she describes the problematic nature of these follow-on APs at a time…

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42 Dropped Cases, 48 Lifted Bars, One Big ‘Disaster’: SEC Roundup | ThinkAdvisor

The SEC recently dropped 42 enforcement actions — including many against small investment advisors — as a result of the SEC’s failure to separate the enforcement and judicial functions in its administrative proceedings. *** Concannon and Wolfe explain the significance of the SEC’s breach and how the agency has not fixed the underlying problem: the fact that the “judge” and the “prosecutor”…

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Congress should put an end to in-house courts at the SEC | The Hill

Congress should give serious consideration to abolishing SEC administrative proceedings. They are not necessary to an effective securities enforcement program, and they fail to meet the standards of impartiality and fairness we expect from federal institutions. Contrary to some observers’ fears, this would not be the end of the administrative state. It would strengthen confidence in the operations of agencies…

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SEC to Face More Pressure on Enforcement Forum Choices | Bloomberg BNA

Republican lawmakers want to curb the SEC’s authority to bring enforcement actions using in-house tribunals—unless the agency moves first. Parties sued in the administrative forum could move the case to federal court under legislation (H.R. 5983) approved in September by the House Financial Services Committee. via SEC to Face More Pressure on Enforcement Forum Choices | Bloomberg BNA

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Administrative Proceedings Remain Likely for SEC Enforcement Actions | New York Law Journal

Although there is intensifying political effort to rein in the SEC’s use of administrative proceedings, the current judicial climate heavily favors the SEC’s continued use of its choice of forum. In addition to the high “win/loss” ratio the SEC has achieved via administrative proceedings, a recent study out of the University of Michigan Law School suggests the shift toward administrative…

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Lynn Tilton sues SEC again, calls cases unconstitutional | Reuters

Lynn Tilton, the New York financier accused by the U.S. Securities and Exchange Commission of defrauding her investors, on Friday sued the regulator to stop it from pursuing unfair in-house enforcement cases against her and others. The lawsuit filed in Manhattan federal court by Tilton and her firm Patriarch Partners accused the SEC of violating their constitutional rights to due…

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