SEC suspends trading in 15 stocks, in whack-a-mole against social media hype

  • 📰 latimes
  • ⏱ Reading Time:
  • 72 sec. here
  • 3 min. at publisher
  • 📊 Quality Score:
  • News: 32%
  • Publisher: 82%

Malaysia News News

Malaysia Malaysia Latest News,Malaysia Malaysia Headlines

The Securities and Exchange Commission on Friday said it temporarily halted trading in the companies due to concerns that their stock prices were artificially inflated due to social media promotion.

U.S. regulators are engaging in the stock market’s version of whack-a-mole — racing to suspend shares of companies with dubious prospects that have been hyped to the moon on social media.Friday, the Securities and Exchange Commission said it temporarily halted trading in 15 companies due to concerns that their stock prices were artificially inflated.

“We proactively monitor for suspicious trading activity tied to stock promotions on social media, and act quickly to stop that trading when appropriate to safeguard the public interest,” said Melissa Hodgman, acting director of the SEC’s enforcement division. The SEC crackdown adds to the fallout from the GameStop Corp. frenzy, in which an army of day traders banded together to drive long-ignored stocks to the stratosphere. The regulator has routinely sought to remove moribund companies from exchanges because it’s worried about retail investors suffering losses, but that effort has picked up pace amid this year’s wild trading.

Two weeks ago, the SEC suspended trading in SpectraScience Inc. — a firm that had surged 633% in 2021 to just over two-tenths of a cent before the halt. The SEC’s order noted that while the company hadn’t filed reports in years and its phone number doesn’t work, “social media accounts may be engaged in coordinated attempt to artificially influence” its share price. SpectraScience volume surpassed 3.5 billion shares on a single day in late January as the stock surged 167%.

None of the companies suspended Friday have filed any information with the SEC for over a year. Under the federal securities laws, the SEC can prohibit trading for 10 days and bar a broker-dealer from soliciting investors to buy or sell the stock again until certain reporting requirements are met.

We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 11. in MY
 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.

cryptocointalk With this and the uk planning some kind of crypto tax and regulation it’s clear the old regime are clambering to get some form of control. DeFi

😂😂Good luck......the moles are on the loose and not going back underground any time soon

The Chinese Communists are conquering the whole world.

How will you love sit down and make money without stressing yourself. With the right investment you are only a step away. With Terri investor_terri She can help you trade and mine your bitcoin with a day to day monitoring of your account Dm her if you are Interested only

And I have read: SEC ban 15 teams from postseason play, and then I realize that the SEC has only fourteen Members. MarchMadness Basketball

Let's include the info the headline suggests is within (but is not), shall we?

How about listing the stocks in your article?

🤔

The SEC is a bunch of bank owned lawyers. Nothing more.

Malaysia Malaysia Latest News, Malaysia Malaysia Headlines