Lucia Loses Court Fight Against SEC In-House Action

Aug. 22, 2019, 5:37 PM

The SEC shut down another challenge to its in-house judges from an investment adviser who beat the agency at the U.S. Supreme Court last year, with a win at the Southern District of California.

Raymond J. Lucia sought an injunction to stop a Securities and Exchange Commission proceeding because the agency’s judges have allegedly unconstitutional protections against removal. But federal district courts don’t have jurisdiction to review SEC administrative actions, the U.S. District Court for the Southern District of California said.

Lucia successfully challenged the SEC’s process for appointing administrative law judges in 2018. The Supreme Court ruled that ...

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