Asked by Hanna Jordan on May 12, 2024
Verified
Only the Securities and Exchange Commission can sue violators of Section 10(b)and Rule 10b-5.
Securities And Exchange Commission
A U.S. federal agency responsible for enforcing federal securities laws, regulating the securities industry, the nation's stock and options exchanges, and other related activities and organizations.
Section 10(b)
A provision of the Securities Exchange Act of 1934, dealing with securities fraud and providing for the Securities and Exchange Commission to enact rules to prevent such practices.
Rule 10b-5
A regulation under the U.S. Securities Exchange Act of 1934 that addresses fraud and misrepresentation in securities trading, prohibiting deceptive practices.
- Comprehend the responsibility associated with deception and falsehood in the issuance and trading of stocks.
Verified Answer
DW
Diamond WilliamsMay 14, 2024
Final Answer :
False
Explanation :
Private parties can also sue violators of Section 10(b) and Rule 10b-5 under certain conditions, not just the Securities and Exchange Commission (SEC).
Learning Objectives
- Comprehend the responsibility associated with deception and falsehood in the issuance and trading of stocks.