Friday, December 2, 2011
Yesterday the Senate Committee on Homeland Security and Governmental Affairs held a hearing on Insider Trading and Congressional Accountability. The witnesses included Professors Donna Nagy (Indiana), Donald Langevoort (Georgetown) and John Coffee (Columbia). Their written testimony and an archive webcast are available at the Committee's website.
Robert Khuzami, SEC Director of Enforcement, in his written statement, asserted that, contrary to the 60 Minutes Report, trading by Congressional Members or their staffs is not exempt from the federal securities laws, although "[i]nvestigations into potential trading or tipping by Members of Congress or their staff could pose some unique issues, including those that may arise from the Constitutional privilege provided to Congress under the Speech or Debate Clause."