This past two weeks saw the SEC lose two enforcement actions at trial. In Kansas, a jury found against the SEC in a case against an executive of a high tech company accused of trying to hide a $1.2M payment to the company's then CEO. In California, a federal judge ruled against the SEC in a case against executives of Basin Water who were accused of artificially boosting the company's financial performance. Undeterred, the SEC continues to take the position that in at least some instances it will require admissions of guilt and therefore will push more cases to trial. These latest cases show that the SEC can be defeated at trial.