SEC compliance and enforcement requires legal advice

On behalf of Brewer, Pritchard & Buckley, P.C. posted in sec compliance and enforcement on Friday, November 16, 2018.

In Texas, when dealing with issues that pertain to the Securities and Exchange Commission as a part of doing business, making a legal mistake can be extensively damaging to the business and individuals who are working in the business. It can also negatively impact everyday investors and those who work as go-betweens and make their money in that capacity. The term “SEC compliance and enforcement” might sound like it encompasses a wide array of issues. That is because it does. Any violation of securities law can cause innumerable problems. When there is an allegation of wrongdoing or concern that the law could have been violated, legal help is a must.

The SEC can conduct investigations and move forward with prosecutions when there is an allegation of violations of federal securities law. There are many issues that can arise with the SEC. That includes allegations of insider trading, claims that market prices were being manipulated, people trying to increase the value of a stock using shady methods and then selling them at a profit (pump and dump), a broker violating fiduciary responsibilities, investors could have had facts misrepresented to them, and unregistered securities could have been sold.

When there is a charge of SEC violations, it will not only impact the company as it goes about its business, but it can significantly hinder its reputation as well as that of the individuals who work there. This can harm their attempts to advance in their careers. That is before mentioning the legal penalties such as fines, loss of profits, and even jail. Understanding how to adhere to the rules is one factor that a legal professional can help with. Combating allegations of wrongdoing is another.

For companies and individuals who are confronted with allegations of violating SEC rules, having legal help is the wisest decision they can make. Before moving forward with certain activities or after the allegations have been made, a law firm that specializes in SEC compliance and enforcement is a must and should be contacted immediately for guidance and help.