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IPFS News Link • SEC-Securities Exchange Commission

SEC Suspends Trading In 15 Companies Due To "Questionable Trading And Social Media Activity

• by Tyler Durden

Well, today we got the clearest confirmation yet that the SEC will do everything in its power to make sure that are no more Melvin Capitals and will seek to put a resolute end to the reddit bull raids when it announced that it "suspended trading in the securities of 15 companies because of questionable trading and social media activity."

Today's order states that trading is being suspended because of "questions about recent increased activity and volatility in the trading of these issuers, as well as the influence of certain social media accounts on that trading activity."  In enforcing the suspension, the SEC referred to federal securities laws, according to which "the SEC can suspend trading in a stock for 10 days and generally prohibit a broker-dealer from soliciting investors to buy or sell the stock again until certain reporting requirements are met."

The order also states that none of the issuers has filed any information with the SEC or OTC Markets, where the companies' securities are quoted, for over a year. As a result, the SEC suspended trading in the securities of: