2.16.21
On February 11, the Securities and Exchange Commission (SEC) announced it will be rolling back a policy that would allow publicly traded companies to easily secure waivers when faced wth securities law violations. Such waivers allow companies to avoid being disqualified from certain activities or regulatory exemptions. SEC Acting Chair Allison Herren Lee stated, “This return to the division’s long-standing practice ensures that the consideration of waivers is forward looking and focused on protecting investors, the market, and market participants from those who fail to comply with the law.” While the specific implications of the policy changes remain unclear, the move points to a clear future of tightening regulatory enforcement by the SEC.