Supreme Court rules SEC can recoup money in fraud cases
Law Journals
The Supreme Court on Monday preserved an important tool used by securities regulators to recoup ill-gotten gains in fraud cases.
By an 8-1 vote, the justices ruled that the Securities and Exchange Commission can seek to recover the money through a process called disgorgement. Last year, the SEC obtained $3.2 billion in repayment of profits from people who have been found to violate securities law.
“The Court holds today that a disgorgement award that does not exceed a wrongdoer’s net profits and is awarded for victims is equitable relief permissible" under federal law, Justice Sonia Sotomayor wrote for the court.
Justice Clarence Thomas dissented. The Supreme Court in 2017 unanimously limited the SEC’s ability to go after profits where alleged fraud has been going on for years before authorities file charges. That case left open the question the high court answered Monday, that courts have the authority to order disgorgement of profits. The SEC has continued to aggressively pursue defendants’ profits in fraud cases.
Related listings
-
Court tosses NY case that could have expanded gun rights
Law Journals 05/01/2020The Supreme Court sidestepped a major decision on gun rights Monday in a dispute over New York City’s former ban on transporting guns.The justices threw out a challenge from gun rights groups, including the National Rifle Association’s Ne...
-
Georgia high court election cancellation headed for appeal
Law Journals 03/17/2020A would-be candidate for a seat on Georgia's highest court on Wednesday asked the state's lower appeals court to step in after a judge this week said the governor had the right to fill the position even though a judge who's resigning won't leave unti...
-
Utah judge suspended for making anti-Trump comments
Law Journals 05/24/2019A longtime Utah judge has been suspended without pay for six months after making critical comments online and in court about President Donald Trump, including a post bashing his “inability to govern and political incompetence.”Judge Micha...
Is Now the Time to Really Call a Special Education Lawyer?
IDEA, FAPE, CHILD FIND and IEPs: The Individuals with Disabilities Education Act (IDEA) guarantees all children with disabilities to a free appropriate public education (FAPE). FAPE starts with a school’s responsibility to identify that a child has a disability (Child Find) and create an Individualized Education Program (IEP) to suit the needs of the child. Parents need to be persistent, dedicated and above all else aware of the many services and accommodations that their child is entitled to under the law. As early as this point within your child’s special education, many parents will often find themselves in the situation asking, “is now the time to really call a special education lawyer?” Here are a few things to consider when asking yourself that question.