At a July 30, 2013 Senate Banking Committee Hearing on "Mitigating Systemic Risk in Financial Markets through Wall Street Reforms," Senator Elizabeth Warren offered up a nice softball question to panelist SEC Chair Mary Jo White. Sen. Warren referred back to a question she posed to then-SEC Chair Elisse Walter in February 2013 about the SEC's willingness to take large Wall Street financial institutions all the way to trial. Sen. Warren stated that she had since learned that taking on "big Wall Street corporations" at trial is a real problem for the SEC because it doesn't have sufficient resources in its Enforcement Division. She asked Chair White whether the SEC does have the resources to pursue such trials, and if White could discuss the importance of these resources in having an effective enforcement strategy.

Chair White replied that there was "no question that additional resources are essential to our successful enforcement strategy." Indeed, one of the SEC's specific requests in its budget proposal, White said, was for additional trial attorneys. She added that the SEC presently did not have enough trial attorneys, although she praised the agency's trial record. White offered a reminder that the SEC is budget-neutral and deficit-neutral, as it pays for itself through fees paid by regulated entities.

Following Chair White's testimony, as well as testimony from CFTC Chair Gary Gensler, Sen. Warren observed that it "seems clear that if Congress wants to have a tough watchdog, it has to make sure the dog hasn't been starved.” Check out video of the exchange between Sen. Warren and SEC Chair White in the video below, beginning at the 1:44 mark.

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