The Securities and Exchange Commission June 7 announced that it suspended trading in 17 microcap stocks based on concerns about the accuracy and adequacy of public information available about the companies.
In a release, the commission said the trading suspensions were a joint effort by four of its regional offices—Los Angeles, Miami, New York, and Philadelphia—the Office of Market Intelligence, and its new Microcap Fraud Working Group.
“They may be called `penny stocks,’ but victims of microcap fraud can suffer devastating losses,” said SEC Enforcement Director Robert Khuzami in the release. “The SEC’s new Microcap Fraud Working Group is ...
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