The notice informs the people or the firm in question that the SEC has concluded that they should be charged with violation of the securities laws.
[1] The notice indicates that the SEC staff has determined it may bring a civil action against a person or firm, and provides the person or firm with the opportunity to provide information as to why the enforcement action should not be brought.
[3] In addition, 80% of people who were sent a Wells notice from 2011 to 2013 ended up facing charges for allegedly violating securities law.
[5] The other members of the committee were former SEC Chairmen Manuel F. Cohen and Ralph Demmler.
[3]This article relating to law in the United States or its constituent jurisdictions is a stub.