On behalf of Brewer, Pritchard & Buckley, P.C. posted in securities fraud on Thursday, June 28, 2018.
The world of high finance is the foundation for people living a notable lifestyle and being prominent throughout Texas and across the nation. It is the basis for a great deal of fiction in books, television and film. However, although it might make for interesting theater when watching it on television or reading about it in a book, being accused of securities fraud is a serious problem that can lead to major penalties with incarceration, fines and more. It does not even necessarily need to be a person who is a heavy investor. Casual investors can be caught up in illegality as well. Those who are confronted with these accusations must make certain they understand what they are up against and craft a strong defense with legal assistance.
The Securities and Exchange Commission is constantly on the lookout for apparent illegality. Since so many different people are trying to make money in the securities market through stocks and other investment vehicles, it is not hard to get caught up in a situation where charges are filed. This is true even if the person who was charged either had no knowledge of what was happening or was a small fish in a large pond and is being used as an example.
Securities might be manipulated in an artificial manner to improve their price and make people money – this is illegal and can lead to charges. Getting a stock tip from someone in the know might seem like a windfall, but depending on the circumstances, it might be a legal violation and spark an investigation and arrest. Trying to use enthusiastic word of mouth and falsehoods to improve the value of a stock – pump and dump – can also result in criminal charges.
With how the world is changing and different avenues to earn money in the market, there are similarly different ways to commit securities fraud and be in trouble with the law. When there are allegations of wrongdoing and an arrest, it is critical to have legal advice from the start. A law firm that is experienced in defending clients accused of securities fraud should be called immediately to begin planning a defense.