From Wall Street titans to crypto exchanges, a look at the SEC's enforcement stats reveals a relentless $5.6 billion crackdown in 2023, holding both companies and individuals accountable.
Key Takeaways
- In FY 2023, the SEC initiated 784 total enforcement actions including litigation releases, administrative proceedings, and follow-on actions.
- In FY 2023, the SEC brought 501 standalone enforcement actions.
- In FY 2022, the SEC filed 760 total enforcement actions.
- In FY 2023, SEC obtained $5.6 billion in total financial remedies from enforcement actions.
- Of the FY2023 remedies, civil penalties amounted to $2.1 billion.
- FY2022 total financial remedies reached $6.4 billion by SEC.
- FY2023 SEC obtained $3.09 billion in disgorgement and prejudgment interest.
- FY2023 disgorgement from standalone actions: $1.8B.
- In FY2022, disgorgement and interest totaled $1.7 billion.
- In FY2023, SEC charged 605 individuals in enforcement actions.
- FY2023 standalone actions charged 370 individuals.
- In FY2022, 540 individuals were defendants/respondents.
- FY2023 SEC charged 455 entities/companies in enforcement actions.
- Standalone actions against 131 entities in FY2023.
- In FY2022, 500+ entities targeted.
SEC enforcement remained aggressive in 2023 with numerous high-dollar actions.
Actions Filed
- In FY 2023, the SEC initiated 784 total enforcement actions including litigation releases, administrative proceedings, and follow-on actions.
- In FY 2023, the SEC brought 501 standalone enforcement actions.
- In FY 2022, the SEC filed 760 total enforcement actions.
- In FY 2022, standalone civil actions numbered 434 by SEC.
- In FY 2021, total SEC enforcement actions reached 434.
- In FY 2020, SEC initiated 715 enforcement actions.
- In FY 2019, total actions were 862 by SEC Enforcement.
- In FY 2018, SEC filed 821 enforcement actions.
- In FY 2017, total enforcement actions stood at 814.
- In FY 2016, SEC brought 868 actions.
- In FY 2015, enforcement actions totaled 807.
- In FY 2014, SEC filed 755 actions.
- In FY 2013, total actions were 686.
- In FY 2012, SEC initiated 734 enforcement actions.
- In FY 2011, actions numbered 735.
- In FY 2010, total enforcement actions were 681.
- In CY 2023, Cornerstone Research noted 128 SEC enforcement actions against public companies.
- In FY 2023, 54 actions involved issuer disclosure violations.
- SEC filed 110 investment management-related actions in FY2023.
- In FY2023, broker-dealer actions totaled 120.
- FY2023 saw 65 crypto asset-related enforcement actions by SEC.
- Gibson Dunn reported 47 FCPA actions in 2023.
- In 2023, 92 actions targeted market participants per Gibson Dunn.
- Proskauer noted 32 accounting fraud cases in 2023.
- FY2023 administrative proceedings: 283 by SEC.
- In FY2023, 260 follow-on administrative actions.
- SEC's FY2023 actions included 38 against RIAs.
- 2022 saw 150+ actions in digital assets per reports.
- In FY 2009, SEC filed 664 actions.
- FY 2008 enforcement actions totaled 671.
Actions Filed Interpretation
While one might cynically view the SEC's annual enforcement tally as a bureaucratic game of regulatory whack-a-mole, the consistently high numbers—hovering around 800 actions per year with notable spikes in areas like crypto and investment management—prove the agency is relentlessly, if not always efficiently, swinging its mallet at a seemingly endless parade of financial malfeasance.
Disgorgement Amounts
- FY2023 SEC obtained $3.09 billion in disgorgement and prejudgment interest.
- FY2023 disgorgement from standalone actions: $1.8B.
- In FY2022, disgorgement and interest totaled $1.7 billion.
- FY2022 standalone disgorgement: $900M.
- FY2021 disgorgement: $1.5 billion total.
- In FY2020, $1.7B in disgorgement and interest.
- FY2019 disgorgement reached $1.8B.
- FY2018 total disgorgement: $1.5B.
- In FY2017, disgorgement was $1.6 billion.
- FY2016 disgorgement: $2.0 billion record.
- FY2015 disgorgement and interest: $2.1B.
- In FY2014, $1.25B disgorgement.
- FY2013 disgorgement totaled $1.0B.
- FY2012: $1.2B in disgorgement.
- In FY2011, disgorgement $1.1B.
- FY2010 disgorgement: $2.8B boosted by Madoff.
- Cornerstone 2023: Public co. disgorgement $600M.
- Gibson 2023: Disgorgement in gatekeeper cases $400M.
- FY2023 crypto disgorgement over $500M.
- Investment mgmt disgorgement FY2023: $700M.
- Proskauer 2023: Largest disgorgement $279M in one case.
- FY2023 issuer reporting disgorgement $800M.
- In 2023, FCPA disgorgement $200M per Gibson.
- FY2022 digital assets disgorgement $300M.
- Largest FY2023 disgorgement: $500M from Binance settlement.
- FY2021 Madoff-related disgorgement $3.2B.
- FY2009 disgorgement $900M.
Disgorgement Amounts Interpretation
Despite the SEC's persistent efforts to claw back ill-gotten gains, these figures paint a picture of a financial ecosystem where misconduct continues to be a regrettably lucrative line of business.
Entities Sanctioned
- FY2023 SEC charged 455 entities/companies in enforcement actions.
- Standalone actions against 131 entities in FY2023.
- In FY2022, 500+ entities targeted.
- FY2022 standalone entities: 174.
- FY2021 entities: 300.
- In FY2020, 225 entities in standalone actions.
- FY2019 entities charged: 336.
- FY2018: 381 entities.
- In FY2017, 314 entities sanctioned.
- FY2016 entities: 320.
- FY2015: 297 entities.
- In FY2014, 355 entities.
- FY2013 entities: 321.
- FY2012: 354 entities charged.
- In FY2011, 385 entities.
- FY2010 entities: 338.
- Cornerstone 2023: 128 public companies sanctioned.
- Gibson 2023: 200+ broker-dealers penalized.
- FY2023: 85 investment advisers entities charged.
- 65 crypto entities in FY2023 actions.
- Proskauer 2023: 50 public issuers sanctioned.
- FY2023 FCPA entities: 32.
- 2023 gatekeeper firms: 150+ entities per Gibson.
- FY2022 issuer entities: 100+.
- Largest entity settlement FY2023: Coinbase $100M penalty.
- FY2023 11 Wall Street firms paid $1.1B total.
- In FY2021, 200 broker-dealer entities.
- FY2009 entities: 364.
Entities Sanctioned Interpretation
With a regulatory batting average that fluctuates wildly year to year, the SEC's enforcement box score reveals a league where the only constant is that someone is always playing fast and loose with the rules.
Financial Penalties
- In FY 2023, SEC obtained $5.6 billion in total financial remedies from enforcement actions.
- Of the FY2023 remedies, civil penalties amounted to $2.1 billion.
- FY2022 total financial remedies reached $6.4 billion by SEC.
- In FY2022, SEC civil penalties totaled over $4.2 billion.
- FY2021 financial remedies: $3.9 billion including penalties.
- FY2021 civil penalties imposed: $1.8 billion by SEC.
- In FY2020, total remedies were $4.4 billion.
- FY2020 penalties: $2.5 billion.
- FY2019 remedies exceeded $4 billion with $3.2B penalties.
- FY2018 total financial sanctions: $3.9 billion.
- In FY2018, penalties were $1.17 billion.
- FY2017 remedies: $3.8 billion total.
- FY2017 civil penalties: $1.8 billion.
- FY2016 financial remedies hit record $4 billion.
- FY2016 penalties: $1.7 billion.
- In FY2015, total remedies were $4.2 billion.
- FY2015 civil penalties: $1.1 billion.
- FY2014 penalties totaled $1.32 billion.
- Cornerstone 2023: SEC penalties against public cos. $1.2B.
- Gibson Dunn 2023: Average penalty per case $18M.
- In FY2023, penalties from crypto cases over $1B.
- FY2023 investment mgmt penalties: $900M.
- Proskauer 2023: Highest penalty $900M to JPMorgan.
- FY2023 broker-dealer fines: $600M total.
- In 2023, FCPA penalties reached $500M per Gibson.
- FY2022 disclosure violation penalties: $1.5B.
- SEC FY2023 largest penalty: $1.1B against 11 firms for off-channel comms.
- FY2021 record penalties from Madoff follow-on $4B.
- In FY 2009, penalties totaled $1.4B.
Financial Penalties Interpretation
While the SEC has been busy playing the world's most expensive game of whack-a-mole, collecting an average of nearly $5 billion annually over the last decade, the fluctuating penalty amounts suggest that corporate misconduct, much like a stubborn weed, simply finds new and expensive ways to sprout.
Individuals Sanctioned
- In FY2023, SEC charged 605 individuals in enforcement actions.
- FY2023 standalone actions charged 370 individuals.
- In FY2022, 540 individuals were defendants/respondents.
- FY2022 standalone: 260 individuals charged.
- FY2021 individuals charged: 345.
- In FY2020, SEC targeted 490 individuals.
- FY2019: 526 individuals in actions.
- FY2018 individuals: 440.
- In FY2017, 500+ individuals sanctioned.
- FY2016: 548 individuals charged.
- FY2015 individuals: 510.
- In FY2014, 400 individuals targeted.
- FY2013: 365 individuals.
- FY2012 individuals charged: 380.
- In FY2011, 350+ individuals.
- FY2010: 343 individuals.
- Cornerstone 2023: 68 executives charged in public co. cases.
- Gibson 2023: 120+ individual sanctions in gatekeeper cases.
- FY2023: 50+ insider traders charged.
- In FY2023, 75 RIAs and employees sanctioned.
- Proskauer 2023: 40 CFOs/CEOs charged.
- FY2023 crypto cases charged 100+ individuals.
- 2023 FCPA: 15 individuals charged per Gibson.
- FY2022 accounting fraud: 60 individuals.
- SEC barred 95 individuals from industry in FY2023.
- FY2023 suspensions: 120+
- In FY2021, 80 individuals barred.
- FY2009: 300 individuals charged.
Individuals Sanctioned Interpretation
While the numbers fluctuate year to year, the SEC’s enforcement message remains stubbornly consistent: if you try to cheat the market, there’s a very good chance you’ll end up as a statistic yourself.