Odaily Planet Daily News U.S. government regulator Empower Oversight has filed a lawsuit against the SEC, accusing it of failing to disclose a report on ethical conflicts and selective enforcement within the agency.
The lawsuit claims that the SEC's Office of Inspector General completed the report more than a year ago, but the agency has not released it despite repeated requests under the Freedom of Information Act.
The lawsuit seeks to force the SEC to disclose its findings related to William Hinman, former director of the SEC's Division of Corporate Finance. The investigation focuses on possible conflicts of interest in Hinman's relationship with his former law firm, Simpson Thacher, which has a financial interest in promoting Ethereum.
Empower Oversight has been pursuing transparency from the SEC since August 2021, filing multiple FOIA requests and lawsuits seeking documents related to the agency's communications with cryptocurrency entities. The regulator believes that the SEC's delays indicate a pattern of evading responsibility in its enforcement actions.