SEC In Action

Gurbir Singh Grewal, SEC Director of the Enforcement Division, has recently began wrapping large fish to prevent insider trading. Ex-congressman Stephen Bayer was charged on 25th July, more charge are coming up, now an ex-chief information security officer, and an ex-FBI trainee are also charged.

Director Grewal claims that accused are charged for breaking federal securities rules as well as for weakening public faith in the fairness of the market. However, the public does not appear to be satisfied and is asking about the Pelosi couple, who are in positions of influence.

Public Not Satisfied

     Although it has been claimed that House Speaker Nancy Pelosi engaged in insider trading by providing her husband with knowledge before investing, no legal action has been taken against her or her husband. Jaime Lizárraga, a former senior adviser to Nancy Pelosi, recently took the oath of office as a commissioner for the SEC, which aroused public concern.

     Even though the SEC is an independent agency, the public complains that it does little to stop the major offenders who are in charge because it cannot resist political pressure. Instead, the SEC agitates the public by forcibly intruding in unessential issues like Cryptocurrency.

Thoughts

The SEC might have wrapped little fishes, in order to preserve its reputation. Because it is now difficult to challenge the status quo, only public pressure is effective.