Gurbir Grewal, the U.S. Securities and Exchange Commission’s top enforcement official, is leaving the agency after helping to lead a crackdown on the cryptocurrency industry and Wall Street’s use of off-channel communications.

Since taking over in 2021, Grewal has been in charge of the SEC’s 1,300 enforcement attorneys as they brought hundreds of cases against firms and finance professionals. He was a regular speaker at industry conferences, frequently warning lawyers and auditors about their responsibility to protect investors. 

Gurbir Grewal, director of enforcement for U.S. Securities and Exchange Commission (SEC)

“Every day, he has thought about how to best protect investors and help ensure market participants comply with our time-tested securities laws,” SEC Chair Gary Gensler said in a statement. “He has led a division that has acted without fear or favor, following the facts and the law wherever they may lead.” 

Under Gensler, the SEC has clashed with the finance industry, including hedge funds, brokerages and crypto businesses. Grewal played a key part in stepped up enforcement.

The SEC took a particularly tough approach on finance firms using unofficial communications tools such as WhatsApp. Under Grewal, a former federal prosecutor, the agency handed down billions of dollars in fines on banks and other Wall Street firms.

In fiscal 2023, the SEC said it levied almost $5 billion in fines as well as reimbursements to investors. Its enforcement actions in fiscal 2022 resulted in a record $6.4 billion. 

Grewal, the former attorney general for the state of New Jersey, will depart on Oct. 11, the SEC said. 

Sanjay Wadhwa, the division’s deputy director, will serve as acting director, the SEC said.

This article was provided by Bloomberg News.