The SEC Establishes Special Task Force to Combat Cross-Border Trading Fraud Targeting U.S. Investors

BlockBeats News, September 7th, according to an official announcement, the U.S. Securities and Exchange Commission (SEC) has announced the establishment of a Cross-Border Task Force to combat cross-border transactional fraud that harms U.S. investors. The initial focus of the Cross-Border Task Force is to investigate potential violations of U.S. federal securities laws related to foreign companies, including potential market manipulation such as "pump and dump" schemes. The Task Force will also pay particular attention to "gatekeepers," especially auditors and underwriters who assist these companies in accessing the U.S. capital markets. Additionally, the Task Force will review potential securities law violations related to foreign jurisdiction companies.

The U.S. Securities and Exchange Commission (SEC) Chairman Paul Atkins stated, "We welcome companies from around the world to access the U.S. capital markets, but we will not tolerate any bad actors attempting to exploit international borders to obstruct and evade U.S. investor protection, whether companies or intermediaries. The new Task Force will strengthen the SEC's investigative efforts and empower the SEC to utilize all available tools to combat cross-border fraudulent activities."