This Note examines the problems recently faced by the SEC in policing securities transactions effected by foreign financial institutions in jurisdictions with secrecy and blocking laws, and it proposes both a short-term solution and a long-term solution to the SEC's enforcement problems. Part II of the Note outlines the problems confronting the SEC, specifically addressing the growing internationalization of securities markets and the effects on United States markets. This section also examines the problems confronting the SEC as a result of secrecy and blocking laws, and it suggests that unless new enforcement procedures are developed, these problems will increase when a fully integrated capital market system is established. Part III discusses the means the SEC currently uses to pierce secrecy and blocking laws and the difficulties and frustrations associated with the utilization of those methods. While Part IV examines the waiver-by-conduct concept and evaluates its potential effects, Part V looks at other possible alternatives. Finally, Part VI analyzes the role of secrecy and blocking laws in securities markets and the issues confronting nations that attempt to resolve these enforcement problems; Part VII concludes with a suggested approach.
Rochelle G. Kauffman,
Secrecy and Blocking Laws: A Growing Problem as the Internationalization of Securities Markets Continues,
18 Vanderbilt Law Review
Available at: https://scholarship.law.vanderbilt.edu/vjtl/vol18/iss4/3