For Criminal Sanctions to Be Imposed Under Section 10(b)of the Securities

question 27

True/False

For criminal sanctions to be imposed under Section 10(b)of the Securities Exchange Act of 1934 and SEC Rule 10b-5 scienter must exist.

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Definitions:

Panic Disorder

A type of anxiety disorder characterized by sudden and repeated attacks of intense fear and discomfort.

Compulsion

A repetitive and rigid behavior or mental act that persons feel driven to perform in order to prevent or reduce anxiety.

Repetitive Behavior

Actions repeated over and over again, which can be a symptom of several disorders, including OCD and autism spectrum disorders.

Mental Act

A process or activity carried out by the mind, such as thinking, reasoning, or remembering.