The STOCK Act and the SEC

I have long admired Stephen Bainbridge’s writings on corporate governance and securities regulation. Usually, he casts a skeptical eye on the Securities and Exchange Commission as well as the “good governance” trends of the moment in the government and corporate worlds. We’ve had some friendly conversations via email through the years, and he has praised my work several times, as I have his.

So I was a bit taken aback to read his blistering attack on the recent NRO article I wrote with my colleague David Bier outlining how the STOCK Act could inhibit the disclosure of information by whistleblowers on congressional staffs, even if they would not profit from a trade made on the basis of that information. Implying that he doesn’t know me from Adam (he refers to me as a “guy from the Competitive Enterprise Institute . . . named John Berlau”), Bainbridge accuses Bier and me of peddling a “load of codswallop” (glad to learn this new word!) and of making “so many mistakes . . . that it’s hard to know where to start.”

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