The U.S. Securities & Exchange Commission (SEC) was established by Congress as a result of the stock market crash in 1929 and resulting depression. This agency closely regulates the purchase and sale of securities in the United States.
In particular, Rule 10b-5 is a regulation established by the SEC that prohibit fraud in the purchase or sale of a security. Rule 10b-5 covers much more than stocks and bonds traded on the stock exchanges or over-the-counter. Rule 10b-5 covers any purchase or sale of security, which has been very broadly defined, and includes almost any item that is not specifically excluded in the statutory definition of a security as expanded on the case law.
You should not delay in retaining experienced securities counsel once you become aware that you are involved in an SEC investigation or if you or your company is served with a subpoena issued by the SEC. If you act early, experienced counsel may be able to avert the worst consequences — or any adverse consequences at all — from an SEC action.
Defense Of SEC Lawsuits In All Courts In The United States
Defense of a lawsuit brought by the SEC is always a complex undertaking. Congress has given the SEC wide-ranging powers to bring a variety of actions that can seriously harm a person or entity to the extent that SEC can make it impossible for you to continue to operate. Temporary Restraining Orders (TROs), asset freezes and appointment of a receiver can prevent you from mounting an effective defense. Aiding and abetting liability can bring you into an SEC action when the role you played was minor, at best.
Donald L. Beckner & Associates has a successful record of defending clients against SEC actions. Attorney Donald Beckner is a former United States Attorney with more than 30 years experience in SEC litigation. To speak with Mr. Beckner in a confidential consultation, send an email or call the firm at 225-769-7779.