Series 63: Exercise

Exercise

Answer true or false

1. 1. _ If a person does not respond to an administrator’s request for information, the administrator can rescind the person.
2. 2. _ An administrator can issue a cease and desist order without requesting a court injunction.
3. 3. _ An administrator has the authority to imprison professionals who violate securities regulations.
4. 4. _ The statute of limitations for civil violations is three years from the date of a violation itself or two years from the date an investor discovers that a violation took place.
5. 5. _ In the case of a final order that is vacated, all charges and penalties are dropped.

Answers

1. 1. False. In such a case, the administrator can hold the person in contumacy. Only an issuer or securities professional can offer rescission.
2. 2. True. Issuing a cease and desist order is an action that an administrator can take on his own.
3. 3