TechFlow news, according to an official announcement, the U.S. Securities and Exchange Commission (SEC) has established a cross-border task force to combat cross-border investment fraud that harms U.S. investors. The initial focus of the cross-border task force will be investigating potential violations of U.S. federal securities laws related to foreign companies, including potential market manipulation such as "pump-and-dump" and "manipulative trading." The task force will also concentrate on "gatekeepers," particularly auditors and underwriters who assist these companies in accessing the U.S. capital markets. In addition, the task force will examine potential securities law violations involving companies from foreign jurisdictions.
SEC Chair Paul Atkins said, "We welcome companies from around the world to access U.S. capital markets, but we will not tolerate bad actors—whether companies, intermediaries, or 'gatekeepers'—who attempt to exploit international borders to obstruct and evade protections for U.S. investors. This new task force will consolidate the SEC’s investigative efforts and enable us to use all available tools to combat cross-border fraud."
