Wave Systems Corp. (fka WAVXQ)

[player1234]

The SEC doesn't issue the notice. It is a NASDAQ issue and they decide whether to issue the notice. There was a stay on this in 2001/2002 but it was lifted in 2002.

The exact wording from the NASDAQ site is (the bold is mine in answer to your question):

"Most companies listed on NASDAQ are required to maintain a minimum closing bid price of $1.00 per share; however, those National Market companies qualifying for continued listing based on the market value of listed securities or total assets and total revenue under Maintenance Standard 2 are required to maintain a minimum closing bid price of $3.00.

If a company trades for 30 consecutive business days below the applicable minimum closing bid price requirement, NASDAQ will send a deficiency notice to the company, advising that it has been afforded a "grace period" (90 calendar days for National Market companies and 180 calendar days for SmallCap Market companies) to regain compliance with the applicable requirements. "

Edit: The process for monitoring for the compliance is an automated process, not a manual one.