Laws: Cases and Codes : U.S. Code : Title 15 : Section 78ff


   
U.S. Code as of: 01/19/04
Section 78ff. Penalties

    (a) Willful violations; false and misleading statements
      Any person who willfully violates any provision of this chapter
    (other than section 78dd-1 of this title), or any rule or
    regulation thereunder the violation of which is made unlawful or
    the observance of which is required under the terms of this
    chapter, or any person who willfully and knowingly makes, or causes
    to be made, any statement in any application, report, or document
    required to be filed under this chapter or any rule or regulation
    thereunder or any undertaking contained in a registration statement
    as provided in subsection (d) of section 78o of this title, or by
    any self-regulatory organization in connection with an application
    for membership or participation therein or to become associated
    with a member thereof which statement was false or misleading with
    respect to any material fact, shall upon conviction be fined not
    more than $5,000,000, or imprisoned not more than 20 years, or
    both, except that when such person is a person other than a natural
    person, a fine not exceeding $25,000,000 may be imposed; but no
    person shall be subject to imprisonment under this section for the
    violation of any rule or regulation if he proves that he had no
    knowledge of such rule or regulation.
    (b) Failure to file information, documents, or reports
      Any issuer which fails to file information, documents, or reports
    required to be filed under subsection (d) of section 78o of this
    title or any rule or regulation thereunder shall forfeit to the
    United States the sum of $100 for each and every day such failure
    to file shall continue. Such forfeiture, which shall be in lieu of
    any criminal penalty for such failure to file which might be deemed
    to arise under subsection (a) of this section, shall be payable
    into the Treasury of the United States and shall be recoverable in
    a civil suit in the name of the United States.
    (c) Violations by issuers, officers, directors, stockholders,
      employees, or agents of issuers
      (1)(A) Any issuer that violates subsection (a) or (g) of section
    78dd-1 of this title shall be fined not more than $2,000,000.
      (B) Any issuer that violates subsection (a) or (g) of section
    78dd-1 of this title shall be subject to a civil penalty of not
    more than $10,000 imposed in an action brought by the Commission.
      (2)(A) Any officer, director, employee, or agent of an issuer, or
    stockholder acting on behalf of such issuer, who willfully violates
    subsection (a) or (g) of section 78dd-1 of this title shall be
    fined not more than $100,000, or imprisoned not more than 5 years,
    or both.
      (B) Any officer, director, employee, or agent of an issuer, or
    stockholder acting on behalf of such issuer, who violates
    subsection (a) or (g) of section 78dd-1 of this title shall be
    subject to a civil penalty of not more than $10,000 imposed in an
    action brought by the Commission.
      (3) Whenever a fine is imposed under paragraph (2) upon any
    officer, director, employee, agent, or stockholder of an issuer,
    such fine may not be paid, directly or indirectly, by such issuer.



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