SEC Enforcement Director Loses Obama-Era Subpoena Authority

The Securities and Exchange Commission’s top brass will exercise stricter control over investigations into US public companies as the Trump administration rolls back a 2009 policy that delegated subpoena power to the securities cop’s enforcement chief.

In a final rule adopted last week, the SEC removed its enforcement director’s authority to issue formal orders of investigation that enabled staff members to slap subpoenas on companies and individuals under investigation. Moving forward, those orders will require a commissioner’s blessing.

“The Commission, by removing sub-delegated and delegated authority, does get earlier insight into what types of investigations are being conducted and early ...