SEC official: Too many regulators are 'piling on'

by Rachel.Norvell17 Oct 2014
For years the federal government has been heaping regulations bureaucracy and red tape on originators. Finally, at least one SEC official has said it's too much.

According to Scott Friestad, associate director of the SEC’s enforcement division, too many U.S. authorities are conducting overlapping investigations, which can disrupt regulatory probes and lead to unnecessary lawsuits.

“A particular firm could be sued by seven different regulators," Friestad said at a conference in London earlier this week "There’s a risk of all piling on and there needs to be care that it makes sense," according to Bloomberg.

He went on to say the SEC needs to coordinate investigations with other federal and state agencies and prosecutors, but probes that are typically confidential can be disrupted when other authorities try to get attention for their work by contacting the media.

What do you think? Tell us in the comments.

Click here to read Bloomberg's complete article.


  • by Viva la Revolucion | 10/17/2014 10:34:25 AM

    Uh, you think?

  • by | 10/17/2014 11:15:39 AM

    duh! is it just me or does the federal government always seem to come out and say things about 5 years after everybody is already aware of it?

  • by | 10/19/2014 11:13:54 AM

    Unfortunately it sounds like he isn't saying there are too many regulations or regulators.
    He's just saying that the multitude of agencies can screw up each other's investigations and lawsuits. They're piling on top of each other trying to piggyback of another agencies success at suing a firm or business to gain brownie points...


Should CFPB have more supervision over credit agencies?