Although investors late trading and market timing were behind the majority of the fund scandal cases, it looks like the SEC's two proposed regulations to stop those abuses will not be passed in their current forms, if at all, says James Delaplane, partner at Washington, D.C.-based law firm Davis & Harman and Beltway insider.

The SEC is "quite likely to back off" the hard 4 p.m. close rule in favor of new technology or auditing requirements, says Delaplane. Similarly, the SEC is taking steps back from its redemption fee proposal.

Regardless, the agency does not look like it's making any moves before 2005, says Delaplane. 

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