SEC Continues Record Pace for Enforcement Actions; Focus on Advisers
The SEC announced that it filed 734 enforcement actions in the fiscal year that ended September 30, nearly matching last year’s record total of 735. The SEC also indicated that it obtained orders for more than $3 billion in penalties and disgorgement, an 11% increase over last year. The SEC specifically noted its enforcement focus on investment advisers with weak compliance programs, highlighting its “investment adviser compliance initiative, which looks for registered investment advisers who lack effective compliance programs designed to prevent securities laws violations.” The SEC filed 147 enforcement actions against investment advisers and investment companies, one more than last year’s record. The SEC also filed 134 actions against broker-dealers, a 19% increase. The SEC also claims a 95% success rate in litigated enforcement actions (21-1).