On 13 December 2024, the United States Securities and Exchange Commission announced that Erik Gerding, Director of the Division of Corporation Finance, will step down from his role effective 31 December 2024. Washington. Cicely LaMothe, currently serving as Deputy Director of Disclosure Operations, has been named Acting Director upon Mr. Gerding’s departure.
Mr. Gerding joined the US SEC in October 2021 as Deputy Director of the Division of Corporation Finance, focusing on Legal and Regulatory Policy. He became Director in February 2023, during which time he oversaw the implementation of several major regulatory initiatives. These included rules on climate-related disclosures, cybersecurity risk management, executive compensation, and conflicts of interest in securitizations. Under his leadership, the Division also finalised reforms such as universal proxy, updates to United States Rule 10b5-1 plans governing insider share sales, and standards for clawbacks of erroneously awarded compensation.
Reflecting on his tenure, Mr. Gerding said, “I am so proud to have served alongside the talented staff of the Division and the Commission who worked devotedly to fulfill our statutory mandate during some the most dynamic changes in capital markets in decades, my thanks to the Chair and the Commission for the trust they have placed in me and the support they have shown to the Division. I am humbled to have been a part of what I view as the crown jewel of the agency.”
Before his time at the US SEC, Mr. Gerding had a career in academia and private practice. He was a Professor of Law and Wolf-Nichol Fellow at the University of Colorado Law School, specialising in securities and corporate law. He also taught at the University of New Mexico School of Law and practised at an international law firm, representing clients in the financial and technology sectors. Mr. Gerding holds a J.D. from Harvard Law School and an undergraduate degree from Duke University.
Cicely LaMothe, who will serve as Acting Director, has a background in securities regulation and leadership within the US SEC. She has held various senior roles, including Program Director of the Disclosure Review Program and Associate Director of Disclosure Operations. Recognised for her commitment to diversity and inclusion, Ms. LaMothe was awarded the Chairman’s Award for Excellence in 2020 for her work with the US SEC Diversity Council. A Certified Public Accountant, Ms. LaMothe earned her bachelor’s degree in accounting from Hampton University and previously worked in the private sector as a financial reporting manager and a senior associate at a national accounting firm.
In a statement, US SEC Chair Gary Gensler acknowledged Mr. Gerding’s contributions during his tenure and stated: “I want to thank Erik for his leadership of the Division of Corporation Finance, during his time of service, we’ve adopted important reforms regarding corporate governance to better promote trust in the markets. We’ve adopted important reforms to enhance investors’ access to full, fair, and truthful information, a founding principle of our securities laws. I wish him very well in his next pursuits. I also want to thank Cicely for stepping up as Acting Director and for being a longstanding leader within the Division.”
(Source: https://www.sec.gov/newsroom/press-releases/2024-200)
