Supreme Court Rules SEC Can Seek Disgorgement of Profits Without Proving Investor Loss

The Supreme Court unanimously ruled on June 4, 2026, in *Sripetch v. Securities and Exchange Commission*, that the Securities and Exchange Commission (SEC) is not required to prove that investors suffered pecuniary loss before obtaining disgorgement of ill-gotten gains in enforcement actions. This decision resolves a circuit split and affirms the SEC's long-standing practice of seeking remedies designed to deprive wrongdoers of net profits from unlawful activity, regardless of victim losses.