Financial Fraud Task Force Formed

President Barack Obama has established by executive order an interagency Financial Fraud Enforcement Task Force to strengthen efforts to combat financial crime, according to an announcement from the Securities and Exchange Commission (SEC).

The Department of Justice will lead the task force; the Department of Treasury, the U.S. Department of Housing and Urban Development and the SEC will serve on the steering committee. The task force's leadership, along with representatives from a broad range of federal agencies, regulatory authorities and inspectors general, will work with state and local partners to investigate and prosecute significant financial crimes, ensure just and effective punishment for those who perpetrate financial crimes, address discrimination in the lending and financial markets and recover proceeds for victims, the SEC said.

The task force replaces the Corporate Fraud Task Force established in 2002 and is intended to "build upon efforts already underway to combat mortgage, securities and corporate fraud by increasing coordination and fully utilizing the resources and expertise of the government's law enforcement and regulatory apparatus," the SEC said. The attorney general will convene the first meeting of the task force in the next 30 days.