S.E.C. Is Avoiding Tough Sanctions for Large Banks

10:27 am - Fri, Feb 3, 2012: 15 notes

S.E.C. Is Avoiding Tough Sanctions for Large Banks

“By granting those waivers, the S.E.C. allowed Wall Street firms to have powerful advantages, securities experts and former regulators say. The institutions remained protected under the Private Securities Litigation Reform Act of 1995, which makes it easier to avoid class-action shareholder lawsuits.”

There are a lot of problems at major financial institutions, but when government regulators fail to exercise their power to sanction wrongdoers, the system needs to be reexamined.