SEC Investigating 'Sham Letters' That Favored Proxy Regs

By Tom Zanki (December 10, 2019, 5:49 PM EST) -- U.S. Securities and Exchange Commission chairman Jay Clayton said Tuesday that the agency is investigating letters he cited in support of a controversial proposal to increase regulation of proxy advisory firms — letters that have since been reported to be dubious.

Clayton told the Senate Banking Committee that the matter has been turned over to the SEC's general counsel and inspector general's office. Clayton was responding to questions by Sen. Tina Smith, D-Minn., who was concerned "sham letters" were informing the agency's thinking.

"We are having an investigation of this issue," Clayton said, declining to delve into specifics.

The matter stems...

Stay ahead of the curve

In the legal profession, information is the key to success. You have to know what’s happening with clients, competitors, practice areas, and industries. Law360 provides the intelligence you need to remain an expert and beat the competition.


  • Access to case data within articles (numbers, filings, courts, nature of suit, and more.)
  • Access to attached documents such as briefs, petitions, complaints, decisions, motions, etc.
  • Create custom alerts for specific article and case topics and so much more!

TRY LAW360 FREE FOR SEVEN DAYS

Hello! I'm Law360's automated support bot.

How can I help you today?

For example, you can type:
  • I forgot my password
  • I took a free trial but didn't get a verification email
  • How do I sign up for a newsletter?
Ask a question!