SCOTUS backs SEC in fight over “disgorgement” power

Source: Reuters

“The U.S. Supreme Court on Thursday rejected a challenge to the Securities ​and Exchange Commission’s broad authority to recover illegal profits using a financial remedy called disgorgement, buttressing one of ‌the Wall Street watchdog agency’s key powers. The justices, in a 9-0 ruling, upheld a lower court’s decision that had endorsed a wide use of the SEC’s disgorgement authority. President Donald Trump’s administration had defended the SEC in the case. … [Ongkaruck] Sripetch admitted violating securities law, and in a related criminal case was sentenced to 21 months in prison. Sripetch challenged the lower court’s disgorgement order on the grounds that the SEC failed to ​prove his actions caused stock ​prices to drop or otherwise ⁠financially harmed investors.” (06/04/26)

https://www.reuters.com/world/us-supreme-court-backs-sec-fight-over-disgorgement-power-2026-06-04/