In a fresh move to discuss mitigation strategies for fraud and trends in the scam industry, the SEC’s Division of Enforcement has launched the Interagency Securities Council (ISC). This body will cooperate with federal, state and local law enforcement and regulatory professionals

Representatives from over 100 departments and agencies will contribute to the ISC’s work, with the SEC’s contributions being led by Adam Anicich and Manuel Vazquez. Anicich was previously Program Manager for International Enforcement and Technical Assistance in the SEC’s Office of International Affairs.

“The Interagency Securities Council will help front line investigators stay abreast of emerging threats and fact patterns to protect their communities from securities fraud, while supporting the efforts of federal, state, and local law enforcement partners across the country,” said Gurbir S Grewal, Chair of the ISC and Director of the SEC’s Division of Enforcement.

The ISC is expected to meet quarterly.

Frauds and scams proliferate

Unified efforts in tacking fraud will be needed as increasingly sophisticated fraud operations expand. Sophisticated crypto-fueled scams like “pig butchering,” phishing, and deepfake solicitation continue to rake in billions of dollars per year, and law enforcement agents often are ill-equipped to investigate or provide guidance.

In the vast majority of such cases, the defrauded money is irrecoverable and untraceable, making education and prevention critical goals.

Furthermore, fraudulent crypto advertising and pump-and-dump securities operations highlight the need to protect investors from market participants that may be engaging in duplicity.

In addition to coordinating large-scale operations amongst agencies and developing approaches to combating securities fraud, the ISC will be able to provide messaging clarity and strategic unity.