The hits just keep on coming for the Securities and Exchange Commission.  Apparently it was not enough to be reduced to a shell of an oversight agency under the Bush administration.  Some employees are now alleged to have participated in insider trading.  They must have saw all of their Wall Street buddies cashing in and wanted to join the game.  From Reuters:

Two U.S. Securities and Exchange Commission employees are under investigation by federal criminal authorities for allegedly using insider information to trade stocks, a source familiar with the matter said on Thursday.

A report by the SEC's internal watchdog alleges that the two SEC lawyers traded in stock of a large financial services company despite being told by another SEC employee of ongoing investigations of that company, CBS News reported.

The SEC inspector general report said one SEC attorney under investigation works in the Office of the SEC's Chief Counsel and has access to a tremendous amount of nonpublic information, CBS News said.

An SEC spokesman said: "We take seriously even the suggestion that any SEC employee would engage in insider trading. We note that the inspector general report neither accuses any SEC employee of insider trading nor concludes that any such conduct took place."

Calls to the SEC's inspector general and Federal Bureau of Investigation were not immediately returned.

With all of the games Wall Street plays it's like the Wild West down there.  And now we find out that the SEC was not only turning a blind eye to everything, there were SEC lawyers actually participating in criminal activity.  Allegedly....  Well this instills tremendous confidence in me that our financial system is under watchful eyes.  Although, it is better late than never I guess to catch a criminal, or two.  I sure hope this does not become one of those investigations that just fades away.  If the evidence is there prosecute them to the fullest extent.  And since they are lawyers, disbar them as well.  Turn them into examples of what happens when you participate in financial collusion.