SEC Act has section on ‘misleading information’ View(s):The new Securities and Exchange Commission (SEC) Act, passed by parliament on Tuesday has Twitter promoters on high alert. Especially its section 130 has seen them playing on the back foot this week as it specifically deals in falls and/or misleading statements. “This section prohibits making statements or disseminating information which is false or misleading and likely to raise, lower, maintain or stabilise price or volume of securities traded without reasonable care concerning the accuracy and with the knowledge that the information is false or misleading. The instances where the SEC Commission can take civil proceedings against wrongdoers have been specifically stated thereby spelling out how the Commission can use its discretion. Also, the defences available to a person accused of wrongdoing are spelled out in the law, which wasn’t there in the earlier Act.

Source: Sunday Times September 12, 2021 00:33 UTC