A company filed a lawsuit challenging the SEC’s decision to disclose information that the company submitted to the agency between 1998 and 2004 in connection with two investigations. See Chiquita Brands International v. SEC, D.D.C., No. 1:13-cv-00435, 4/4/13.
According to the complaint, the information included payments made by the company’s former subsidiary to certain groups in Colombia. The filing said the company handed the documents over to the SEC when it was investigating its compliance with books and records requirements, and disclosures about a DOJ investigation. The SEC later agreed to release certain information—including payment documents — in response to two Freedom of Information Act requests in 2008.
The Company claimed that the SEC’s actions were arbitrary and capricious, an abuse of discretion, or a violation of the law The lawsuit asked the court to bar the SEC permanently from disclosing the payment documents, and to direct it to redact or withhold the other information consistent with DOJ’s release of the data.
This case highlights the tricky nature of disclosing information to the SEC.