Transparency at SEC Threatened by New Financial Reform Law

Aug 3, 2010 by Brian Turnbaugh*

Open government advocates have raised serious concerns over a little-noticed provision in the new financial reform legislation that severely restricts the public's access to records held by the Securities and Exchange Commission (SEC). The new provision exempts certain SEC records from the Freedom of Information Act (FOIA). The aim of the new legislation is to increase transparency in the financial sector, but without access to enforcement records and other regulatory documents, the public loses a vital tool for holding our financial system regulators accountable.