PointofLaw.com
 Subscribe Subscribe   Find us on Twitter Follow POL on Twitter  
   
 
   

 

 

Harvey Pitt on the future of the SEC

| No Comments


In the Wall Street Journal yesterday, Harvey Pitt, the 26th chairman of the U.S. Securities and Exchange Commission, commented on the various challenges the SEC will face in the "post-Mary Shapiro era."

When Ms. Schapiro took charge in January 2009, the SEC was in disarray--an institutional piñata, bashed from outside by politicians and the press, and from inside by then-Inspector General David Kotz, whose constant probes following the SEC's failure to uncover Bernie Madoff's massive Ponzi scheme had created a culture of fear. Staff morale was low and the agency was rendered ineffectual, while its slightest missteps garnered elevated visibility and contempt.

That deplorable state of affairs changed with Ms. Schapiro's ascendancy. She replaced senior SEC staff, instilled agency employees with renewed enthusiasm and respect for the agency's mission, reorganized and streamlined decades-old bureaucratic and administrative structures, and fostered a new (and deeper) sense of professionalism at every level.

The results were palpable. The SEC's continued existence ceased ¬being questioned, its responsibilities were significantly expanded by the 2010 Dodd-Frank financial reforms, it brought record numbers of enforcement actions, and it adopted and proposed scores of congressionally mandated rules.

But, as Ms. Schapiro departs the agency she ably led, happy days most assuredly are not here again. The many problems the SEC must deal with are fraught with complexity and irrationality. Danger lurks around every corner.

Harvey Pitt then went on to enumerate and explain some of the pressing challenges the SEC will have to deal with, emphasizing Dodd-Frank. He discussed some of these very issues at a Manhattan Institute conference this fall.

Leave a comment

Once submitted, the comment will first be reviewed by our editors and is not guaranteed to be published. Point of Law editors reserve the right to edit, delete, move, or mark as spam any and all comments. They also have the right to block access to any one or group from commenting or from the entire blog. A comment which does not add to the conversation, runs of on an inappropriate tangent, or kills the conversation may be edited, moved, or deleted.

The views and opinions of those providing comments are those of the author of the comment alone, and even if allowed onto the site do not reflect the opinions of Point of Law bloggers or the Manhattan Institute for Policy Research or any employee thereof. Comments submitted to Point of Law are the sole responsibility of their authors, and the author will take full responsibility for the comment, including any asserted liability for defamation or any other cause of action, and neither the Manhattan Institute nor its insurance carriers will assume responsibility for the comment merely because the Institute has provided the forum for its posting.

Related Entries:

 

 


Isaac Gorodetski
Project Manager,
Center for Legal Policy at the
Manhattan Institute
igorodetski@manhattan-institute.org

Katherine Lazarski
Press Officer,
Manhattan Institute
klazarski@manhattan-institute.org

 

Published by the Manhattan Institute

The Manhattan Insitute's Center for Legal Policy.