On November 27th, the SEC released the latest additions to the list of unregistered entities that use inaccurate information about their affiliation, location, or registration to solicit mainly non-US investors. This list is known as the Public Alert: Unregistered Soliciting Entities (PAUSE) list. The update adds 14 soliciting entities, two impersonators of real firms, and four bogus regulators. The SEC’s Office of Market Intelligence, in conjunction with the Office of Investor Education and Advocacy and the Office of International Affairs, periodically revises the PAUSE list.
Revising the list of soliciting entities that have been the subject of investor complaints allows the SEC to provide information learned through reviewing tips, referrals, complaints, and other sources, helping retail investors avoid potential fraud before they invest. The PAUSE list also identifies bogus regulators who falsely claim to be government agencies or affiliates and those impersonating registered securities firms.
The SEC encourages investors to remain apprised of these impersonation schemes by visiting the Investor Alerts and Bulletins webpage on Investor.gov. The site provides helpful articles and resources with tips on investing wisely and avoiding all types of fraud.
An entity’s placement on the PAUSE list does not mean the SEC has made decisions about the merits of any securities being offered or that it has found violations of US federal securities laws.
Source:
SEC Updates List of Firms Using Inaccurate Information to Solicit Investors (sec.gov)
PAUSE List (sec.gov)
