Cryptocurrency fraud and schemes against mom-and-pop retail investors may consume the limelight and make for good press, but the SEC enforcement division’s annual report also highlights continued interest in public company actions.
Individual accountability is one of the staff’s five key initiatives. In FY 2018, the Commission charged individuals in more than 70% of the enforcement actions it brought, including “numerous” CEOs and CFOs, as well as accountants, auditors and other gatekeepers.
The Division’s Cyber Unit is up and running. The Unit brought the case against Yahoo! Inc., which was the agency’s first case against a public company for failing to properly inform investors about a cyber breach.