The U.S. House Financial Services Committee’s Capital Markets Subcommittee held a hearing to examine the Securities and Exchange Commission’s approach to regulation and enforcement and to explore options to reinforce accountability, due process and public confidence in U.S. capital markets. In opening remarks, Subcommittee Chair Ann Wagner said the Subcommittee is reviewing whether the SEC is executing its Congressional mandate and pointed to concerns that rulemaking has moved too quickly without sufficient economic analysis, that enforcement has increasingly substituted for clear rules, and that major decisions have been made with limited transparency or accountability. She outlined areas for potential legislative action, including strengthening economic analysis requirements, reinforcing meaningful public comment periods, clarifying enforcement standards to curb “regulation by enforcement,” and modernizing the SEC’s structure and internal decision-making so major policy choices are made by accountable officials and subject to oversight.
U.S. Financial Services Committee 2026-02-04
U.S. House Financial Services Committee holds hearing on Securities and Exchange Commission rulemaking, enforcement and structural accountability reforms
The U.S. House Financial Services Committee’s Capital Markets Subcommittee held a hearing to assess the SEC's regulatory and enforcement approach, focusing on accountability, due process, and public confidence. Subcommittee Chair Ann Wagner highlighted concerns over rapid rulemaking, enforcement substituting for clear rules, and limited transparency, suggesting potential legislative actions to strengthen economic analysis, public comment periods, enforcement standards, and SEC decision-making.