How is the SEC empowered to investigate and prosecute securities fraud cases?

The Securities and Exchange Commission (SEC) is the federal agency responsible for enforcing securities laws in the United States. It is empowered to investigate and prosecute securities fraud cases through its extensive powers. The SEC is authorized to issue subpoenas, compel testimony, and take other measures necessary to uncover any violations of securities laws. The SEC has the authority to bring civil and administrative proceedings against those who have broken the law. They can levy fines, confiscate profits, and institute other civil penalties to punish violators. The SEC can also bring criminal charges which can result in jail time, depending on the severity of the case. The SEC also has the power to investigate publicly-traded companies to ensure that they are operating in accordance with applicable federal regulations. They can examine financial statements, investigate insider trading and investigate any suspicious activity. The SEC works closely with state securities regulators to ensure that the rules and regulations of the state are being followed. They regularly share information and coordinate investigations and enforcement cases. The SEC is also empowered to regulate the activities of broker-dealers, investment advisers, and investment companies. They have the authority to review and approve transactions to protect investors. They also have the power to investigate and prosecute cases of fraud, deceit, and other violations of securities laws.

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How is the SEC empowered to investigate and prosecute securities fraud cases?

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