SEC Mix-Up Leads It to Drop Cases Tied to KPMG Cheating, Cochran

The SEC dismissed enforcement actions involving several high-profile securities cases, including those involving two people at the center of KPMG’s cheating scandal and several cases that wound up before the Supreme Court.

All 42 dropped cases, which involved the agency’s administrative law judges, were caught up in a server issue that allowed enforcement staff access to information meant for adjudication staff, according to an order the Securities and Exchange Commission posted Friday. The commission also addressed at least 46 other cases in a separate order granting petitions to vacate bars on associating with industries including investment advisers and municipal securities ...