[JURIST] US business leaders Thursday debated possible new directions for the Securities and Exchange Commission [officail website]following Wednesday's announcement by current SEC Chairman William Donaldson [JURIST report] that he would be stepping down June 30. Donaldson led the drive to toughen corporate regulations and penalties in the wake of the Enron scandal and revelations of mutual fund fraud, but some critics in the corporate community have said that the recent reforms have imposed excessive transaction costs on business, have discouraged risk-taking and compromised economic growth. Others warn that business interests could "hijack" the nomination process of Donaldson's successor and undo progress made under the Sarbanes-Oxley and similar reforms. GOP sources said late Wednesday that President Bush will nominate [JURIST report] Congressman Christopher Cox (R-CA) [official website] to take over from Donaldson, but this has yet to be confirmed. Bush will also have to fill two other vacancies [AP report] on the Commission when Commissioner Harvey Goldschmid [official profile] returns to Columbia University in the fall, and when the term of Commissioner Roel A. Campos [official profile] expires later this year. Reuters has more.
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