A new lawsuit claims that the Securities and Exchange Commission is illegally spying on and collecting the data of everyone — mostly Americans — who invest in the stock market.
The lawsuit, filed on behalf of the New Civil Liberties Alliance on Tuesday, claims that the SEC is forcing "brokers, exchanges, clearing agencies, and alternative trading systems" to collect personal information and funnel every trade made to its data collection and surveillance program known as "Consolidated Audit Trail," or "CAT."
By doing this, NCLA argued that the SEC is violating the Fourth Amendment — the right to privacy and unreasonable search and seizure — as well as placing Americans' financial data at "grave risk."
"By seizing all financial data from all Americans who trade in the American exchanges, SEC arrogates surveillance powers and appropriates billions of dollars without a shred of Congressional authority — all while putting Americans' savings and investments at grave and perpetual risk," Peggy Little, NCLA senior litigation counsel, said.
"The Founders provided rock-solid protections in our Constitution to prevent just these autocratic and dangerous actions. This CAT must be ripped out, root and branch."
Nick Koutsobinas ✉
Nick Koutsobinas, a Newsmax writer, has years of news reporting experience. A graduate from Missouri State University’s philosophy program, he focuses on exposing corruption and censorship.
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