SEC and FDA sign 3-year market integrity pact

The SEC and FDA signed a three-year cooperation agreement on Aug. 31 that gives the agencies formal channels for exchanging nonpublic information about regulated products, public companies and potential legal violations. Summary Three-year SEC-FDA agreement creates formal channels for exchanging information about regulated products and public companies. The SEC may use FDA information in filing reviews, investigations, proceedings, and civil enforcement actions. FDA referrals will involve its chief counsel, while two SEC divisions maintain designated contacts internally. Shared nonpublic records remain confidential and generally require written permission before any further external disclosure. Either agency may terminate the agreement with thirty days’ notice during its three-year operating period. The MOU allows the Securities and Exchange Commission to use information obtained from the Food and Drug Administration during company filing reviews, enforcement investigations, administrative proceedings and civil actions. The agreement takes effect immediately. It does not announce an investigation, new disclosure rule or enforcement case against any company. It instead creates proce...