Judge dismisses most of SEC's lawsuit against SolarWinds over cybersecurity due to lack of authority over non-financial controls.
Judge dismisses most of SEC's lawsuit against SolarWinds over cybersecurity disclosures. US federal judge Paul A. Engelmayer ruled that current laws give the SEC authority only over financial controls, not all internal controls. The judge granted most of SolarWinds' motion to dismiss, stating that the SEC's claims were based on "hindsight and speculation." The SEC can still pursue securities fraud claims based on SolarWinds' website statement about cybersecurity practices before the Sunburst attack.
July 18, 2024
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