Cutler, who had been deputy enforcement director of the SEC since January 1999, was appointed acting director in July after Enforcement Director Richard Walker announced that he was leaving to work in the private sector. At that time, President Bush’s nominee as SEC chairman, securities lawyer Harvey Pitt, was awaiting Senate confirmation.
Pitt, who was confirmed in August, named Cutler as a permanent successor to Walker.
After dealing with the stock market emergency and shutdown caused by the Sept. 11 terrorist attacks, the SEC under Pitt appears to be moving securities regulation in a new direction. On Tuesday, the agency laid out a new enforcement policy that gives companies credit for coming forward to report misconduct, which could possibly mean more lenient treatment in return.
