Professor David Rosenfeld‘s article “Admissions in SEC Enforcement Cases: The Revolution That Wasn’t,” published in the Iowa Law Review, was cited in the article “SEC Signals Pullback From Prosecutorial Approach to Enforcement,” published in The Wall Street Journal. The article points out that despite the SEC’s stated policy of requiring admissions when settling certain cases — particularly those involving egregious misconduct — the agency has in fact obtained very few admissions since the policy was instituted and only rarely in cases involving the worst forms of misconduct.
Research from Professor Rosenfeld’s article was also mentioned in Wall Street’s watchdog is pursuing fewer cases since Trump took office, published in the November 23, 2017 edition of the Washington Post. During the Obama administration, the Securities and Exchange Commission claimed they would force more companies to admit wrongdoing as part of settlements. However, Professor Rosenfeld’s research revealed that only about 2 percent of 2,063 cases filed from 2014 through 2017 included such admissions.