SEC Admits It Destroyed Docs, Says No Probes Harmed

Law360, New York (September 14, 2011, 9:15 PM EDT) -- A U.S. Securities and Exchange Commission official confirmed Wednesday that the agency had destroyed files related to preliminary investigations into securities and financial fraud, but said the SEC still retained some information on those probes.

“We do not believe that current or future investigations have been harmed” by the agency's record destruction and retention policies, SEC Enforcement Director Robert Khuzami said in a letter to Sen. Charles Grassley, R-Iowa.

Grassley had written to SEC Chairwoman Mary Schapiro on Aug. 17, asking her to confirm whether destruction...
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