NYT: "How Trump Is Gutting Regulatory Agencies Like the SEC"

Plus hello to the SEC's "Cyber and Emerging Technologies Unit."

Author

Bruce Carton
February 14, 2025

Good morning! Here’s what’s up.

Daily Weekly Update from Securities Docket!

Can Braeden Anderson summarize this entire week of Daily Updates in 60 seconds? Let’s see!

People

Jason Linder, Glenn Vanzura and Sonali D. Patel have joined Willkie Farr & Gallagher as partners.

Matt Miner , former Deputy Assistant Attorney General in the DOJ and former AUSA in Alabama, has joined KPMG as U.S. General Counsel and Vice Chair – Legal, Regulatory & Compliance.

Clips ✂️

How Trump Is Gutting Regulatory Agencies Like the SEC, CFPB and EEOC

Mr. Trump’s regulatory rollback also potentially extends to the S.E.C.’s enforcement of corporate corruption overseas. On Monday, he signed an executive order directing Attorney General Pam Bondi to pause enforcement of the Foreign Corrupt Practices Act, which makes it illegal for U.S. companies to bribe foreign officials to get government contracts, and is enforced by both the S.E.C. and Department of Justice. One of the biggest foreign bribery cases in recent years was an investigation that led to a Goldman Sachs subsidiary’s entering a guilty plea in the 1MDB scandal.

by NYT

The SEC Crypto Unit is Now Unofficially Dead and Buried

Per LinkedIn, the SEC Division of Enforcement’s “Crypto Assets and Cyber Unit,” is now the SEC Division of Enforcement’s “Cyber and Emerging Technologies Unit.”

Though the SEC issued no press release nor made any other kind of official announcement, Acting SEC Chair Mark Uyeda likely ordered the name-change in order to begin the dismantling of SEC crypto-enforcement, leaving no remnants, fragments or artifacts of what once was.

by John Reed Stark on LinkedIn

👉 Stark is referring to various LinkedIn profiles of SEC staffers who have recently changed their titles from being members of the “Crypto Assets and Cyber Unit” to now being members of the “Cyber and Emerging Technologies Unit.”

Trump Bribery Order Threatens Big Law Anti-Corruption Practices

FCPA lawyers anticipated change, but few expected a complete freeze. Numerous year-end roundups, including from Gibson Dunn, WilmerHale, and Debevoise, stressed that FCPA enforcement remained robust during Trump’s first term, even if he was on record calling it a “horrible law” as early as 2012.

Just last week, Bondi issued a memo stating that the Justice Department’s FCPA unit should prioritize cases involving cartels and transnational criminal organizations.

Experts that constantly track new Justice Department and Securities and Exchange Commission FCPA enforcement actions will be seeing zeroes for months. This could be a major blow to firms that have amassed large teams to advise clients on the law.

by Bloomberg Law

👉 The article continues:

Still, lawyers don’t believe the practice area will dry up overnight. They will likely be called in to help companies understand how the new policy impacts compliance programs—or current investigations—they say.

The statute of limitations on the FCPA’s anti-bribery provision is five years. That means a future administration could pursue wrongdoing that occurs during Trump’s term.

‘Work There Will Dry Up’: White-Collar Defense Practices Poised to See Slow Downs

White-collar defense and litigation partners throughout Big Law are bracing for potential disruptions to business, as the Trump administration signals changes in enforcement priorities, including through executive orders and memos from Attorney General Pam Bondi. White-collar practices seem poised to see a slowdown from federal enforcement activity, particularly in light of President Donald Trump’s executive order pausing enforcement under the Foreign Corrupt Practices Act (FCPA). Am Law 100 firms have spent the past two decades building up FCPA expertise to advise clients on foreign bribery issues. Source:

by NLJ

Twitter