Afederal judge in New York has issued the first rebuke of the Securities and Exchange Commission’s efforts to enforce Regulation Fair Disclosure—which bars U.S. companies from selectively disclosing to securities analysts material information that has not been made available to the public.
Under “Reg. FD,” an issuer making an intentional disclosure of material, nonpublic information to securities analysts and market professionals must provide simultaneous disclosure to the general public. If a non-intentional selective disclosure of material information occurs, the issuer must disclose the information publicly, generally within 24 hours.
