Lorenzo versus the SEC
University of Illinois College of Law Professor Verity Winship University of Illinois College of Law
Lorenzo v. SEC started in a Staten Island boiler room and ended up in the U.S. Supreme Court, with oral argument on December 3, 2018. Frank Lorenzo sent emails promoting an investment in a company with a $10 million idea – “gasification” – that the company had recently declared worthless. Was this securities fraud? Did Lorenzo “make” the misleading statements? And what does this case say about new-Justice Kavanaugh and his sometimes contentious view of the regulatory state? This radio commentary previews the facts, consequences, and upcoming fights.