As we mark the fifth anniversary of the collapse of Lehman Bros., officials of the Securities and Exchange Commission have been whining to the press about how hard it is to nail wrongdoers but saying, hey, they’re doing a heck of a job anyway. Investors would be well-advised not to listen. That the SEC has failed not only to bring any action against the executives of Lehman Bros. in the wake of the 2008 meltdown but also against senior executives of any major bank for activities that seem patently fraudulent tells us our regulatory system is broken and we are at risk of another financial crisis. More on USA Today here.
