The SEC’s Inspector General, H. David Kotz, today released his most recent report related to the Bernard Madoff case, as well as the SEC’s response. The report, entitled “Program Improvements Needed Within the SEC’s Division of Enforcement” (copy available here), offers 21 specific recommendations. By letter dated September 25, 2009 (included in the report), SEC Director of Enforcement Robert Khuzami stated that the SEC concurs with all of the recommendations and has already begun to implement many of them.
In response to Khuzami, the IG stated that his office plans to follow-up to ensure that all 21 recommendations are implemented in full and that he will report back to the Congress on the status of these efforts. The IG’s office also plans to conduct a follow-up audit to determine if the changes to Enforcement’s operations are having the desired and appropriate effect.
