Nov. 25 (Bloomberg) -- The U.S. stock market’s top regulator is being examined over trading by its own employees.
The Securities and Exchange Commission’s internal watchdog is reviewing whether the agency enforces a ban on employees owning shares that pose conflicts of interest, according to a report to Congress released today. The audit by the SEC inspector general follows revelations that officials in the regulator’s New York office invested in securities they’re banned from trading.
SEC employees are restricted from owning shares of most Wall Street banks, which have brokerage and asset-management units that the agency regulates. SEC ethics attorneys said earlier this year they would review internal records to make sure employees are complying with the rule.
The inspector general’s goal is to check the agency’s “efforts to ensure that SEC members and employees comply with the supplemental ethics regulations that prohibit certain securities holdings and restrict trading,” Inspector General Carl W. Hoecker wrote in a semiannual report to Congress.
Complete your profile to continue reading and get FREE access to BenefitsPRO, part of your ALM digital membership.
Your access to unlimited BenefitsPRO content isn’t changing.
Once you are an ALM digital member, you’ll receive:
- Critical BenefitsPRO information including cutting edge post-reform success strategies, access to educational webcasts and videos, resources from industry leaders, and informative Newsletters.
- Exclusive discounts on ALM, BenefitsPRO magazine and BenefitsPRO.com events
- Access to other award-winning ALM websites including ThinkAdvisor.com and Law.com
Already have an account? Sign In
© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
