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Wall Street is well and truly shitting itself over the products of Securities and Exchange Commission Chairman Gary Gensler’s wildly overactive regulatory imagination: Some 49 proposed additions to the rulebook, from retail trading apps to SPACs to disclosure requirements to payment for order flow and beyond. In fact, it might just be enough to distract its attention from Gensler’s top muscle and his own plans to soil pants.

“When it comes to accountability, few things rival the magnitude of wrongdoers admitting that they broke the law,” [SEC Enforcement Director Gurbir] Grewal said at an annual SEC conference sponsored by the Practising Law Institute. “Admissions, given their attention-getting nature, also serve as a clarion call to other market participants to stamp out and self-report the misconduct, to the extent it’s occurring in their firm,” he said….

Sanjay Wadhwa, the enforcement division’s deputy director, said at Wednesday’s conference that regulators would seek admissions “in cases involving egregious misconduct” and where a large number of investors were harmed or where defendants obstructed the SEC’s investigation.

Mr. Grewal said his division, which has a nearly $600 million budget and over 1,300 employees, also plans to closely scrutinize when it should seek to bar individual defendants from future service as officers or directors of public companies. That prohibition is one of the most serious punishments a court can mete out to people accused of violating investor-protection laws.

Wall Street, Companies May Have to Give Up More to Settle With SEC [WSJ]
SEC Chief to Wall Street: The Everything Crackdown Is Coming [Bloomberg]

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SEC Wants Its Alums To Quick F**king Around

You of all people, former enforcement lawyers, ought to know better.


Always Have A Better Plan B Than Asking To Go To The Bathroom And Just Not Coming Back

Because the SEC and Justice Department? Yea, they’re gonna come back.


SEC Making Some Seriously Ominous Noises About Auditor Independence

If the Big Four didn’t like giving up their Russian affiliates, imagine how they’ll feel about having to give up the consulting businesses.

steve buyer

Stephen Buyer, Republican Who Served Nearly 2 Decades In Congress, Arrested For Insider Trading

Given the misbehavior from various lawmakers that we’ve all had to begrudgingly endure in recent years, the idea that a former congressman should know better than to insider trade almost seems quaint.


If You’re Gonna Keep Customers Waiting To Make Your Projections Look Good, You’re Gonna Have To Let Investors Know It

Either that or you’d better project a fine for “potential SEC considerations about our considerations.”

Wells Fargo.Insane

Seven Million Dollar Fines Levied On Wells Fargo Don’t Make Anti-Money Laundering Compliance Sound Sacrosanct

Charlie Scharf is probably not even made aware of penalties under eight figures.