Washington, D.C. — The U.S. Supreme Court has ruled that businesses and individuals accused of fraud by the Securities and Exchange Commission (SEC) must have a jury trial in federal court. In response, Devon Ombres, senior director for Courts and Legal Policy at the Center for American Progress, issued a statement.
"This ruling is a major blow to the government’s ability to enforce the law against financial fraud," Ombres said. "It strips away the SEC’s key power to enforce fraud violations through in-house proceedings. By forcing these actions into already overloaded federal courts, much of the fraudulent activity by financial predators will be delayed or go unpunished."
Ombres further noted potential broader impacts: "But the impact could be even worse; it could unleash chaos at other agencies and hamstring enforcement of laws and regulations affecting labor, trade, and a host of other areas. The court is again siding with wealthy financiers and corporate interests over everyday Americans."
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