Securities enforcement and fraud risk in the age of President Obama

As companies continue to feel the stress of the current economic crisis, a heightened risk for fraud is leading to more investigations and increased regulatory enforcement. Subprime lenders, underwriters and brokers are under investigation as regulators look for possible fraud, conflicts of interest, misleading investor communications and market manipulation. The US Securities and Exchange Commission has announced more than 50 active investigations.

Companies may be trying to manage regulatory compliance and fraud risk with limited budgets. As change continues at a rapid pace, many are wondering how SEC enforcement priorities and actions  may evolve as a new administration takes control in Washington.