September 30, 2018
A GOOD WEEK FOR REPUBLICAN LIBERTY:
SEC's focus on U.S. corporate bosses pays off with Musk settlement (Liana B. Baker, Michelle Price, 9/30/18, Reuters)
A high-profile settlement with Tesla Inc (TSLA.O) Chief Executive Elon Musk exemplifies a recent push by the U.S. Securities and Exchange Commission to go after executives and not just their companies, securities law experts said.In the last week, the SEC announced charges or penalties against eight corporate officials at six companies, including Tesla. The SEC pursued each on different grounds, but securities lawyers said they highlight a shift to an emphasis on personal wrongdoing that has accelerated under Jay Clayton, an appointee of U.S. President Donald Trump who has served as SEC chairman since May 2017."Clayton is focused on holding individuals liable and not just corporate entities," said Mary Hansen, co-chair of the white collar defense and corporate investigations practice at Drinker Biddle, who worked in the SEC's enforcement division for eight years."The public wants to see our law enforcement, whether it be civil or criminal, hold those individuals responsible. That's what is driving this focus on individual liability."
Posted by Orrin Judd at September 30, 2018 4:36 PM
