SEC buckling under criticism

Efforts to reform the U.S. Securities Exchange Commission are grinding through the hearings process in Congress.

The status quo got a thumbs up vote from an unusual corner as Bush-appointed former SEC chair Harvey Pitt spoke out in opposition to reform legislation that would require the Commission to do extensive cost-benefit analysis prior to issuing new regulations.

It’s also been reported that current and former Commission members are hiring lawyers in anticipation of having to defend the actions they took while employed at the SEC.

The Commission has been under intense pressure to reform its operations since the 2008 market scandal. Critics from both major political parties point in particular to its failure to stem high profile frauds such as Bernie Madoff’s Ponzi scheme.

Staff

The staff of Advisor.ca have been covering news for financial advisors since 1998.