Securities and Exchange Commission Programs and Operations

The Securities and Exchange Commission's (SEC) Division of Enforcement (Enforcement) plays a key role in meeting the agency's responsibility to enforce securities laws and regulations. While Enforcement has brought a number of high-profile cases, questions have been raised over how effectively the division manages its operations and resources. This book: (1) discusses the structure of SEC's inspection program for SROs, (2) evaluates certain aspects of SEC's inspection program, and (3) describes the SRO referral process and evaluates SEC's information system for receiving SRO referrals. (4) investigation planning and information systems, (5) oversight of the Fair Fund program. Among other things, GAO analyzed SEC and Enforcement documents and data and interviewed agency officials as well as consultants involved in administering the Fair Fund program. (6) described OCIE's revisions after 2003 to the examination approach for investment companies and investment advisers; (7) discussed OCIE's compliance with its examination exit procedures; and (8) described reforms OCIE implemented since January 2006 to enhance, among other things, communication with registrants.