SEC Releases Report on Enforcement Statistics for 2022

The SEC released statistics recently that it filed 760 total enforcement actions in FY2022, a 9 percent increase over the prior year. According to the release, these included 462 "stand alone" enforcement actions; 129 actions against issuers who were allegedly delinquent in making required filings; and 169 "follow-on" administrative proceedings seeking to suspend individuals from certain functions in the securities markets. The release notes the Enforcement Division used a variety of tools including “technological and analytic tools, as well as cooperation and whistleblower programs.” Actions focused on issuer disclosures, market manipulation, investor protection, crypto assets, ESG, and cybersecurity. Related to cybersecurity, the SEC addressed failures to comply with core obligations including record-keeping and safeguarding customer information. The release noted the SEC’s attention in this area reflects “the critical importance of firms ensuring that their policies, procedures, and practices keep pace with technological developments and the resulting changes in how business is conducted. In the registered fund and adviser space, the SEC brought actions against entities related to broker-dealer transactions, Regulation Best Interest, and SPAC offerings.

Click here to read the SEC enforcement results for FY2022.