According to Foresight News, the US Supreme Court has made a ruling that the US Securities and Exchange Commission (SEC) can no longer use internal judges to handle civil securities fraud cases. This decision has stripped the agency of a key enforcement tool.
The ruling is a significant setback for the SEC, which has relied on its internal judges to adjudicate civil securities fraud cases. The decision by the Supreme Court effectively removes a crucial instrument from the SEC's enforcement arsenal.
This development could potentially impact the way the SEC handles future civil securities fraud cases. The agency will now have to find alternative methods to deal with such cases, which could lead to changes in its enforcement strategies.
