Gurbir Grewal, SEC Enforcement Director, Leaves Agency

Date: 2024-10-03 Author: Gabriel Deangelo Categories: IN WORLD
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SEC Enforcement Director Gurbir Grewal announced that he will step down on October 11 after serving for three years. Sanjay Wadhwa, his deputy, will serve as acting director, and Sam Waldon, the division’s general counsel, will assume the role of deputy director.

During Grewal’s tenure, the SEC has conducted more than 2,400 enforcement actions, issuing more than $20 billion in fines. More than 340 people have been banned from Wall Street, and more than $1 billion has been paid out under the whistleblower reward program. One of the significant achievements has been strengthening oversight of the cryptocurrency industry, with the SEC initiating more than 100 enforcement actions against cryptocurrency companies. In 2023, about $4.9 billion in fines were collected in this area alone.

Congressional reaction to Grewal's departure

Some members of Congress welcomed the news of his departure. House Majority Leader Tom Emmer (R-Minn.), who has been critical of the SEC's cryptocurrency policies, wrote in a post on the social media site X: "Grewal contributed to the chaos and lawlessness at the SEC under Gary Gensler... Good to see him go."

Grewal defended the SEC's position on cryptocurrency regulation

Grewal was acting within the regulatory strategy of his boss, SEC Chairman Gary Gensler, who believed that U.S. securities laws should apply to most cryptocurrency exchanges and platforms.

Grewal said at an SEC conference in 2022 that many criticize the agency for not providing the crypto industry with special treatment and exemptions from conventional regulations. Under his leadership, the SEC has aggressively pursued cases against major crypto companies like Binance, Coinbase, and Ripple Labs. However, the agency ran into trouble in its case against Ripple when a court dismissed a key part of the allegations, forcing the SEC to appeal.
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