Michigan State University College of Law
The stories of Stanford's suspected Ponzi scheme, and Madoff s proven scheme, as well as the Securities and Exchange Commission's lenient settlements with very large suspected violators, and its focus on the numerous, small accused, have raised questions about the Commission's enforcement resources. This Article suggests that the Commission outsource civil cases against very large defendants when the examination of the defendant finds signs of wrongdoing under the securities acts. The Commission already outsources two types of legal services and the United States government practices extensive outsourcing. This article suggests that with appropriate limitations and controls outsourcing of enforcement litigation against powerful and wealthy defendants may serve the country well.
Let the Securities and Exchange Commission Outsource Enforcement by Litigation: A Proposal,
Journal of Business & Securities Law
Available at: https://scholarship.law.bu.edu/faculty_scholarship/1015