Judge Thomas Hardiman, of the U.S. Court of Appeals for the Third Circuit, speaking during a panel discussion at the Federalist Society’s 2018 National Lawyers Convention, held at The Mayflower Hotel in Washington, D.C., on Nov. 16, 2018.
Injunctions issued by the U.S. Securities and Exchange Commission against ongoing or threatened violations of securities law are not penalties, and therefore are not subject to the statute of limitations applying to securities enforcement actions, the U.S. Court of Appeals for the Third Circuit ruled Thursday.
The Third Circuit said a New Jersey federal judge erred by dismissing the SEC’s proposed injunctions against broker-dealer Guy Gentile. The appeals court sent the case back to the district court for a determination on whether a bar on punitive injunctions applies to the remedies sought by the SEC.
