Associational bars aren’t retroactive. A petition challenging a SEC administrative enforcement action against an investment adviser and its principal for “marking the close,” buying and selling shares immediately before the stock markets’ close in order to increase the share price, was partially granted by the US Court of Appeals for the DC Circuit. Affirming in part the SEC order, the Court found that petitioners manipulated the market. However, the Court vacated that portion of the SEC’s order which barred the adviser’s principal from associating with municipal advisers and rating organizations. The Court held that the SEC impermissibly applied the provision of the Dodd-Frank Act, which authorized the SEC to impose municipal adviser and rating organization associational bars. Petitioners’ activities occurred in 2009 but the Act wasn’t adopted until 2010. The imposition of those associational bars was therefore impermissibly retroactive. (7/14/2015) Koch v. Securities and Exchange Commission. See also SEC v. Koch, Lit.Rel.No. 23308.