NCAAbbs

"This year, the S.E.C. has brought the fewest number of securities fraud prosecutions since 1991. That’s according to the data that the Transactional Records Access Clearinghouse (TRAC), a research group at Syracuse University, has amassed."


"Once again, we must point to our philosophical dispute with those who believe that markets can police themselves.

There is no such thing as Markets that “self-regulate.” Its the humans that require rules, regulations, supervision — not the markets. The phrase “self-regulate” is a non sequitur, a nonsense buzzword repeatedly by mindless parrots."

http://www.ritholtz.com/blog/2008/12/sec...ince-2000/

(12-26-2008 11:02 AM)UAB Band Dad Wrote: [ -> ]"This year, the S.E.C. has brought the fewest number of securities fraud prosecutions since 1991. That’s according to the data that the Transactional Records Access Clearinghouse (TRAC), a research group at Syracuse University, has amassed."


"Once again, we must point to our philosophical dispute with those who believe that markets can police themselves.

There is no such thing as Markets that “self-regulate.” Its the humans that require rules, regulations, supervision — not the markets. The phrase “self-regulate” is a non sequitur, a nonsense buzzword repeatedly by mindless parrots."

http://www.ritholtz.com/blog/2008/12/sec...ince-2000/

One of the most commonly used methods for Congress or the executive to cut costs in any program involve the cutting of auditors, inspectors and other "bean-checkers" who are supposed to check up on procedures and processes in government supported programs. It was noted, for instance, that only eight inspectors were being used to check the entire defense department establishment budget spending a few years ago. I guess the fewer inspectors, the less potential for embarrassing disclosures like overpriced hammers and toilet seats.

Maybe it's also harder to commit fraud, that could be a cause for prosecutions to go down.

Or maybe enforcement wasn't a priority.