Warren Questions SEC Chair Atkins on Misleading Congress About Record Low Agency Enforcement Activity

Warren Questions SEC Chair Atkins on Misleading Congress About Record Low Agency Enforcement Activity

"(T)he data you released last week show that the number of enforcement actions initiated by the SEC was lower than at any point in the last decade."

Newly released data "raise concerns that you may have been deliberately trying to mislead the Committee about the state of SEC enforcement."

Text of Letter (PDF)

Washington, D.C. - U.S. Senator Elizabeth Warren (D-Mass.), Ranking Member of the Senate Banking, Housing, and Urban Affairs Committee, sent a letter to Paul Atkins, Chairman of the Securities and Exchange Commission (SEC), following the SEC's publication of Fiscal Year 2025 ("FY 2025") enforcement data, which was released last week after a months-long, inexcusable delay. The new data show that the Commission has largely abdicated its enforcement responsibilities, with enforcement activity dropping by a staggering 20% under the Trump Administration - to its lowest level in more than 20 years. The SEC's steep decline in enforcement puts the savings of American families at risk and emboldens bad financial actors to break the law with little recourse for investors.

At a hearing before the Senate Committee on Banking, Housing, and Urban Affairs held on February 12, 2026, when asked about the sharp decline in enforcement numbers, Chair Atkins implied that he was unaware of data described by Senator Warren. "In the context of the data you released last week, your answers in February were deeply troubling and raise concerns that you may have been deliberately trying to mislead the Committee about the state of SEC enforcement," wrote Senator Warren, who noted that "(d)eliberately misleading Congress can carry severe penalties."

The data released last week raises fresh concerns about the Commission's failure to meet its obligations of promoting market integrity and protecting against misconduct. In her letter, Senator Warren noted that in FY 2025, the Commission brought 456 total enforcement actions - which includes the 200 enforcement actions filed under the previous Chair Gary Gensler. According to an analysis of the SEC's data, the "money actually distributed to victims-the most direct measure of investor protection-fell to $262 million, down from $937 million in fiscal 2022 and, again, the lowest in five years."

The Senator concluded: "The data showing a sharp decline in enforcement actions under your watch, significant reduction in staff and the sudden leadership changes all raise serious questions about the Commission's willingness and capacity to protect investors and the markets. I also find deeply concerning your apparent inability to provide honest answers to Congress and the public about Commission activity."

The Senator requests answers from Chair Atkins by April 28, 2026.

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