SEC Said to be Cutting Spending on Enforcement
The SEC’s enforcement arm is cutting back on spending — and the securities industry is taking notice, reports Bloomberg.
The supposed cuts — which include a ban on all but essential travel and a hiring freeze — come in anticipation of deeper gouges to come as U.S. President Donald Trump seeks to curtail spending on business oversight, according to Bloomberg’s sources, “two people with knowledge of the matter.”
Altogether, “We’re already seeing a quieter enforcement regime” since Trump’s inauguration, Emory University law professor Urska Velikonja tells Bloomberg. “The number of enforcement cases is likely to be down considerably going forward.”
The SEC denies it’s made cuts or spending curtailments, Bloomberg reports.
But the news service also notes that acting SEC chairman Michael Piwowar recently said the agency should “review how it allocates resources, particularly because the agency’s funding might be cut.”