This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Cramer's Action Alerts PLUS - See his portfolio and get alerts BEFORE every trade. Learn more NOW!

Schapiro to Exit SEC, Walter Named Chairman

Updated with comments from Lawrence D. Kaplan, of counsel in the Corporate practice of Paul Hastings in Washington, and Frank A. Mayer, III, a partner in the Financial Services Practice Group of Pepper Hamilton LLP, in the firm's Philadelphia office.

NEW YORK ( TheStreet) -- Securities and Exchange Commission Chairman Mary Schapiro is resigning, effective Dec. 14.

President Obama said that he was "pleased to designate Elisse Walter as SEC Chairman after Mary's departure. I'm confident that Elisse's years of experience will serve her well in her new position, and I'm grateful she has agreed to help lead the agency."

Walter was appointed by President George W. Bush to the Commission in 2008 served as acting chairman during January 2009, according to the SEC web site.

Schapiro, who became the SEC Chairman in January 2009, said in a press release Monday called her experience "incredibly rewarding," and touted "a record number of enforcement actions," as the agency "engaged in one of the busiest rulemaking periods, and gained greater authority from Congress to better fulfill our mission."

Major enforcement actions by the SEC during Schapiro's tenure have included the October 2010 settlement of a lawsuit against former Countrywide Financial CEO Angelo Mozilo, who agreed to pay $22.5 million to "settle SEC charges that he and two other former Countrywide executives misled investors as the subprime mortgage crisis emerged." Mozilo also agreed to "$45 million in disgorgement of ill-gotten gains to settle the SEC's disclosure violation and insider trading charges against him." Bank of America (BAC - Get Report) purchased Countrywide in 2008.

Earlier in 2010, Judge Jed S. Rakoff of the Southern District of New York approved the SEC's $150 million settlement with Bank of America over charges that the bank had mislead investors leading up to its acquisition of Merrill Lynch in January 2010. Rakoff had rejected an earlier, smaller settlement.

Another very high profile success for Schapiro was the successful outcome of criminal charges against Galleon Group and its founder Raj Rajaratnam for insider trading. Rajaratnam was convicted in May 2011 of all 14 insider trading charges against him, and sentenced to 11 years in prison.

The SEC said that under Schaprio's leadership, the agency "has brought more enforcement actions than ever before, including 735 enforcement actions in fiscal year 2011 and 734 actions in FY 2012."

Schapiro also oversaw "one of the busiest rulemaking periods in decades," as the agency worked to implement the Dodd Frank Wall Street Reform and Consumer Protection Act, signed into law by President Obama in August 2010.

The SEC said that because of Dodd-Frank, it has "implemented a new whistleblower program, strengthened regulation of asset-backed securities, laid the foundation for an entirely new regulatory regime for the previously-unregulated derivatives market, and required advisers to hedge funds and other private funds to register and be subject to SEC rules."

1 of 2

Check Out Our Best Services for Investors

Action Alerts PLUS

Portfolio Manager Jim Cramer and Director of Research Jack Mohr reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

David Peltier uncovers low dollar stocks with serious upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
14-Days Free
Try it NOW
Only $9.95
Try it NOW
14-Days Free
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

David Peltier identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
SYM TRADE IT LAST %CHG
BAC $16.37 2.30%
AAPL $127.90 1.20%
FB $80.41 -0.99%
GOOG $570.92 -0.77%
TSLA $198.04 -1.30%

Markets

DOW 17,944.37 -191.35 -1.06%
S&P 500 2,078.91 -22.13 -1.05%
NASDAQ 4,940.4830 -42.3260 -0.85%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs