For Silicon Valley, the SEC has become an unwelcome neighbor

Green Ram Card CollectionAfter nearly two decades in San Francisco, Jina Choi recently received an invitation to speak at one of Silicon Valley’s most popular gatherings, TechCrunch.

The September appearance by the longtime head of the Securities and Exchange Commission’s local office was a recognition by the country’s growing technology sector that Choi’s office had become ground zero for some of the tech industry’s biggest regulatory headaches.

At the time of her appearance, the SEC had launched an investigation into a dubious tweet by Tesla CEO Elon Musk claiming that he had secured funding to take the electric car company private at $420 a share. Seven months earlier, it had accused the upstart blood-testing start-up Theranos of a breathtaking scale of deception. Choi’s office had also fined the company formerly known as Yahoo for failing to tell investors about a massive cyber breach for two years, the first time a company had been punished for such conduct.

Source: Washington Post

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