Supreme Court Limits SEC's Ability in Fraud Cases

Reported 11 months ago

The US Supreme Court ruled that the Securities and Exchange Commission (SEC) cannot press complaints before in-house judges, stating that defendants have a right to present their case to a federal jury. This decision may reduce the SEC's power to secure high-dollar settlements, impacting other government agencies as well. The ruling is part of a term where the Supreme Court is reviewing regulatory agency powers, questioning their interpretation of ambiguous congressional commands. The majority opinion emphasized the right of defendants to a trial by jury in fraud cases, contrasting with the dissent's view of Congress delegating power to the Executive Branch as a violation of the separation of powers.

Source: YAHOO

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