Thursday, January 21. 2021
SEC Updates List of Entities Using Inaccurate Information to Solicit Investors
The PAUSE list also identifies bogus regulators who falsely claim to be government agencies or affiliates and those impersonating registered securities firms. Placement on the PAUSE list does not mean the SEC has made a decision about the merits of any securities being offered nor that it has found violations of US federal securities laws.
The newest additions are entities that SEC staff determined were using inaccurate data about their affiliation, registration, or location. Pursuant to US securities laws, firms that solicit investors, in general, must register with the SEC and meet certain financial standards, as well as disclosure, reporting, and recordkeeping requirements.
The SEC’s Office of Market Intelligence, in coordination with the Office of Investor Education and Advocacy and the Office of International Affairs, regularly updates the PAUSE list. The SEC also recommends the following helpful resources to protect investors:
- Investment Scam Complaints on the Rise – Investor Alert
- Tips for World Investor Week 2020: Investor Bulletin
- FBI and OIEA Warn Public that Fraudsters are Targeting Owners of Timeshares in Mexico
- Investor.gov
Sources:
SEC Updates List of Firms Using Inaccurate Information to Solicit Investors (sec.gov)
Public Alert: Unregistered Soliciting Entities (PAUSE) (sec.gov)