Frankel v. Securities and Exchange Commission
District Court, S.D. New York · 1971-10-20 · cited 15×
This case involved plaintiffs seeking to compel the SEC to release documents from its completed investigation of Occidental Petroleum under the Freedom of Information Act, for use in a separate civil lawsuit against the company and its officers. The SEC moved for summary judgment, arguing that the materials were exempt from disclosure under FOIA exemption (b)(7) for investigatory files compiled for law enforcement purposes, as well as exemptions (b)(3), (4), and (5). The court denied the SEC's summary judgment motion, holding that the (b)(7) exemption does not provide blanket protection once an investigation has concluded via consent decree with no ongoing enforcement action, and it deferred ruling on the injunction request pending a special master's review of whether any documents qualify for the remaining exemptions. The decision emphasized the Act's broad disclosure mandate and the need for case-specific review rather than categorical withholding after law enforcement proceedings have ended.