SEC to Amex: Don't Drop Dead

The Securities and Exchange Commission today settled some mighty serious charges today with the American Stock Exchange, which it says has done exactly zilch to police its trading floor -- the subject of an article that I had in Business Week eight years ago.

The SEC statement announcing the settlement is here. Ex-CEO Salvatore Sodano is fighting charges against him, apparently.

Here's what's striking about this case: the SEC found essentially the same nonfeasance as it did in 2000, when it settled almost identical charges with the Amex.

So why just a censure? Why not just admit the Amex can't or won't supervise the Amex trading floor and shut the damn thing down? Hell, the Amex still won't admit it did a thing wrong: "Without admitting or denying the Commission's findings, the Amex consented to the issuance of the Commission's order."

Enough already. Shut it down.

© 2007 Gary Weiss. All rights reserved.

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