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What makes you think the SEC can find the ‘guilty’ parties and that the company (i.e. possibly the very same people) would willingly cooperate with them and not
by yywwbbn 4y ago
What makes you think the SEC can find the ‘guilty’ parties and that the company (i.e. possibly the very same people) would willingly cooperate with them and not just find a scapegoat to push under the bus? And just repeat this process every time something bad happens.
The point of the fine is to disincentive the company (and also other companies) from doing the same thing again, unless criminal behavior (i.e. fraud) was involved that’s purely an internal matter for the company (they may fire the people who supposedly did this or do whatever they think is necessary).
- nickff 4y agoIf the SEC or DoJ can't figure out who's done something wrong, they should probably refrain from any prosecution. I am not sure what the 'point of the fine' is, but it seems like most companies just treat it as a cost of doing business, that they pay before moving on with whatever they were doing. If you think it's difficult to figure out who did what wrong, and that the companies are just scapegoating people, then the SEC implementing fines that cause the company to fire people is likely causing unjust firings.