Quote LOL, "From the SEC website:
Investigations by the Securities and Exchange Commission "
Uh...I'm quite familiar with how a SEC investigation works...don't need to read any links.....
THREE MONTHS from the time a FEDERAL GOVT AGENCY ISSUES A SUBPOENA is nothing....a major SEC investigation can go on for a LONG, LONG TIME...
ALL FEDERAL AGENCIES ARE NOTORIOUSLY SLOW and THOROUGH and LABORIOUS when they put together legal cases...the FDA/DOJ starts in late 2015...when the first 483 WARNINGS were issued....AND IT JUST NOW GOT FLED AS A FORMAL LAWSUIT....
The SEC may be offering to "cut a deal" with USRM or the SEC may be issuing more subpoenas and deposing people and continuing its investigation, etc. THREE MONTHS IS NOTHING....means nothing...
IT SAYS RIGHT ON SEC SITE (and everyone knows this) that ANY ON-GOING FEDERAL INVESTIGATION is a 100% PRIVATE MATTER....their could be many agencies involved...FBI for instance...no one will know or be told...hell..often the people/firms being investigated WILL NOT KNOW do what degree they're being investigated until they are formally charged...
THE SEC being a CIVIL regulatory agency (meaning no one knows if CRIMINAL CHARGES "might" come as part of this investigation- but it's very much always possible depending on what the SEC thinks USRM did to violate the law)...the SEC has a "process" that is explained on their site...such as a "WELLS NOTICE" being issued or not..and thus the company or company officers under investigation will, or "might" be allowed to "know" certain things....and obviously once issued a SUBPOENA they damn well know they are under investigation....
Companies are not even necessarily by law "REQUIRED" to disclose they are under a SEC investigation...much has been written about it...it's a toss-up....some decide via counsel it's more prudent to "get it on the record" and others will not disclose it until it's either a dead issue or they get formally charged or work a deal or whatever....
BUT...ONE THING FOR CERTAIN...TO GET TO THE SUBPOENA STAGE...means with 100% CERTAINTY the SEC has been "investigating" and watching USRM for an extended period of time...TO GET TO SUBPOENA means the SEC got to "FORMAL INVESTIGATION APPROVAL" which means a Sr Committee review and pre-formal investigative process had to be completed..then APPROVED..
THEN... the team (local FL office) gets granted "GO AHEAD" for SUBPOENA POWER and next level labeled as "FORMAL INVESTIGATION" and that is serious sh%^t for any company and its Sr Officers...now the SEC can dig-in and ask for whatever they deem necessary...documents..emails..internal communications..every shred of paper or electronic communications they want....
IF CHARGED who the hell knows what can happen - it can be anything from CIVIL to CRIMINAL...the SEC can monetarily FINE cash poor USRM..they can impose things like BARRING Tomas or Comella or Murphy for instance from serving AS MGT OF ANY PUBLIC TRADED COMPANY for a period of years or permanently...they can criminally charge them, often with other agencies such as the FBI involved and seek prison time...who the heck knows..as it's an ON-GOING investigation so NO ONE (other than the SEC ITSELF) knows what law(s) they "think" have been potentially broken by USRM and crew...it might be ONE COMPANY OFFICER it might be all of um...
Posts are only my amateur opinions, personal views and thoughts. They are not any type of investment advice. Do one's own due diligence.
