The Securities and Exchange Commission has a new point man to head up the compliance division of the agency. His name is Robert Khuzami. Mr. Khuzami is former federal prosecutor.
Mr. Khuzami wants to use subpoena powers to gain cooperation with the SEC in fraud and all kinds of trading schemes and violations. The subpoena power would be given to staff investigators. This is a marked change from the previous policy, which required the Commission to grant subpoenas. Other changes would include plans to submit more immunity requests to the Justice Department.
The SEC plans to investigate cases involving asset management, foreign corrupt practices, market abuses, municipal securities, public pensions and structured products.
Here's a biggie that they can start on tomorrow. It involves securities fraud in the Lehman Brothers debacle. Lehman filed for bankruptcy on September 15, 2008. During the days preceding the failure of Lehman, 38 million shares of Lehman stock were sold as "naked short sales." Let's repeat that number: 38 million shares. To date, we have yet to learn the names of those responsible for these naked short sales and have yet to learn what is being done to those individuals and firms that conducted such reckless practices. They must be prosecuted to the full extent of the law.
Oh, and by the way, why not start by prohibiting SEC members from trading for their own accounts.
Until we see the traders and firms that were responsible for the reckless trading practices that took our financial system down brought to justice, the American people will place little or no credence in the SEC or any other regulatory agency.
Should the SEC investigate the Lehman Brothers collapse?
Will Rich Ross really have a positive impact on Disney's movie operations?
Consumers sick of recession, may spend extra on holidays
Corrections, seasonality and Santa Claus
Reader Comments (Page 1 of 1)
8-07-2009 @ 2:34PM
Jennifer Dajo said...
SEC Requests copy of financial film spotlighting stock market corruption called "Stock Shock"
http://www.prlog.org/10282455-sec-requests-copy-of-financial-film-stock-shock.html
Amazon has it.