In a remedial practice session, the fact pattern is framed this way. Assume all filings and notices are evaluated under the USA. Under the Uniform Securities Act, the statute of limitations for criminal prosecution of a willful violation is:

A1 year from the date of the violation
B5 years from the date of the violation✓ Correct answer
C3 years from the date of the violation
DThere is no statute of limitations for securities crimes

Explanation

Why B — 5 years from the date of the violation

Under USA Section 409(b), a criminal prosecution must be commenced within 5 years after the alleged violation. This is longer than the civil statute of limitations (3 years from sale / 2 years from discovery) because criminal cases often involve more complex investigations. State-law analysis leads to the same conclusion despite the alternate scenario.

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