United States Second Circuit

In a suit brought by the Securities and Exchange Commission, alleging that defendant aided and abetted securities laws violations through his role in a fraudulent accounting scheme, district court's grant of defendant's motion to dismiss is reversed and remanded, as in SEC civil enforcement actions, the test for substantial assistance is that the aider and abettor "in some sort associated himself with the venture, that he participated in it as in something that he wished to bring about, and that he sought by his action to make it succeed." Here, applying this test, the complaint plausibly alleged that the defendant aided and abetted the primary violation.

Appellate Information

• Decided 08/08/2012
• Published 08/08/2012

Judges

• Rakoff

Court

• United States Second Circuit

Counsel