Corporate Fraud Cases Decline(less fraud or just less enforcement?)

[papau]

http://www.latimes.com/business/la-fi-enforce2aug02.story
Corporate Fraud Cases Decline(less fraud or just less enforcement?)
Some attribute the drop-off in filings to the SEC's post-Enron scandal crackdown.
By Jonathan Peterson
Times Staff Writer

August 2, 2004

WASHINGTON — For the first time since corporate fraud emerged as a national issue, enforcement actions by the Securities and Exchange Commission are slipping — down 14.7% in the current fiscal year.

Regulators are unsure what's driving the trend, but it has triggered speculation that the crackdown on corporate crime may be having an effect on executive behavior.<snip>

In the nine months ended June 30, the SEC imposed 378 enforcement actions against companies and individuals. These included fines, forced returns of profits, suspensions of corporate directors, asset freezes and other punishments.

In the same period last year, the SEC tallied 443 enforcement actions.

At the current pace, the SEC will log 504 actions for the 2004 federal fiscal year ending Sept. 30. That would compare to 679 enforcement actions in fiscal 2003 and 598 in fiscal 2002, when the surge in penalties began. <snip>