Administration & LiabilityQuestion 97 of 100

Which of the following may the Administrator NOT do?

a.Deny an application for registration after notice and an opportunity for hearing
b.Issue a cease and desist order
c.Issue an injunction or sentence a violator to prison
d.Subpoena records located in another state

Explanation

Injunctions and criminal sentences are judicial remedies: the Administrator must ask a court for an injunction and must refer evidence to a prosecutor for criminal charges. Administrative powers include denying, suspending, and revoking registrations after notice and an opportunity for hearing, issuing cease and desist orders, and compelling the production of records wherever they are kept. Keeping the administrative and judicial roles straight is a heavily tested distinction.

Law Reference: Uniform Securities Act

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