A Collaboration with the University of Pittsburgh

SEC Chairman nixes sanctions against Global Crossing founder

[JURIST] Securities and Exchange Commission Chairman William Donaldson has ruled against sanctioning Global Crossing founder Gary Winnick with a fine or charges in an unusual move that saw him side with two other commissioners in voting against the recommendation of an SEC staff panel. A settlement with Global Crossing on overstatement of revenues is pending. Observers say that the vote, which took place at a December 9 meeting, could represent a fundamental split on the politically-appointed commission over the extent of the SEC's power to punish, with the Republican Donaldson now apparently siding with his two Republican colleagues instead of with the Democratic appointees he had previously been allied with. Bloomberg has more.

About Paper Chase

Paper Chase is JURIST's real-time legal news service, powered by a team of 30 law student reporters and editors led by law professor Bernard Hibbitts at the University of Pittsburgh School of Law. As an educational service, Paper Chase is dedicated to presenting important legal news and materials rapidly, objectively and intelligibly in an accessible format.

© Copyright JURIST Legal News and Research Services, Inc., 2013.