For compliance professionals whose firms are regulated by the SEC, the agency’s most recent annual report provided a sobering reminder of the need for effective compliance policies, procedures, and technology solutions.
During the SEC’s fiscal year 2019, there were 862 separate enforcement actions, representing a five percent increase over fiscal year 2018 numbers. These cases resulted in firms and individuals paying $4.3 billion in disgorgements and penalties. In addition, $1.2 billion was returned to harmed investors. These actions brought more than monetary consequences: 595 firms and individuals were barred or suspended as a result of enforcement actions, and trading was suspended in 271 issuers’ securities.
With 15 new hires on board and another 22 staff positions approved at the start of fiscal year 2020, the SEC’s Division of Enforcement seems prepared to act aggressively in its continuing efforts to protect investors.
For a quick and easy reference on the SEC FY2019 statistics, download the SEC Enforcement Statistics infographic below.