Part of the reason why the U.S hasn't done this is because the rules were written by a notorious short seller, Joeseph Kennedy, and he put in place his biases.
In addition they haven't kept up with the times, and the fines are no longer a deterrent.
They rules should be updated, and at a minimum all fines across the board should be multiplied by 20.
The interesting part about doing that, is that it would result in LESS work for the SEC, since as the penalties become too burdensome for a risk taker to accept, the actual number of violators would probably DECREASE.
The SEC and the courts would also have to change their present attitude, and instead of accepting excuses, they would deny excuses and make it a point to see that all fines that are levied are actually collected.
If the person can't pay immediately, so what...let him/her pay over time.
There's always the IRS that can be brought in to help collect. i.e. no tax refunds, inheritances, lottery winnings, anywhere they might get money in the future.
Too harsh? Who cares about the violators? They never cared about anyone else. |
