U.S. Court of Appeals rules That SEC Violated the Administrative Procedures Act When It Adopted the New Fund Governance Requirements

Today, the U.S. Court of Appeals for the District of Columbia ruled that the SEC violated the Administrative Procedures Act ("APA") when it adopted amendments to certain exemptive rules under the Investment Company Act of 1940 requiring mutual fund boards to be, among other things, led by an independent chairman and comprised of members 75% of whom are independent (the "independence requirements").

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