SIE Exam Question 463: Answer and Explanation

Question: 463

During a new issue registration, false information is included in the prospectus to buyers. Which of the following may be held liable to investors?

I. People who signed the registration statement.

II. Officers of the issuer.

III. Syndicate members.

IV. Accountants.

• A. I and III.
• B. I, II, and III.
• C. I, III, and IV.
• D. I, II, III, and IV.

Correct Answer: D

Explanation:

D: All of the parties listed may be held liable to the purchasers of the new issue.