Series 63 practice questioneasyAdministrator's investigative authority
Under the Uniform Securities Act (USA), which of the following is TRUE regarding a state Administrator’s investigative powers?
- AThe Administrator may investigate violations only within their own state.
- BThe Administrator may subpoena witnesses and documents from both inside and outside the state.✓ Correct answer
- CThe Administrator’s investigations are always public.
- DThe Administrator is required to have a formal complaint before starting any investigation.
Explanation
Why B — The Administrator may subpoena witnesses and documents from both inside and outside the state.
The USA permits the Administrator to subpoena witnesses and documents from both in-state and out-of-state sources (USA Sec 407). Investigations may be public or private, and no formal complaint is necessary to start an investigation.
Turn it into reps
Reading one answer is not the same as being ready
Lucky the Banker is a free practice app with 1,051+ Series 63 questions, weak-area tracking, and timed mock exams. No credit card, no paywall.
Spot an error in this question or explanation? Tell us — we fix these fast.
Related Remedies & Administrative Provisions questions
- An agent in State A is suspected of selling unregistered securities. What action can the Administrator take prior to…
- A broker-dealer applicant was convicted of a securities-related misdemeanor 8 years ago. Under the Uniform Securities…
- Which of the following transactions would give the State Administrator jurisdiction under the USA?
- The state securities Administrator has the power to issue subpoenas to:
- Under the USA, an Administrator’s investigation into possible violations:
- An Administrator believes that a securities firm is engaged in ongoing fraudulent activity. What order may the…
- If an individual ignores a subpoena issued by the Administrator, the Administrator may:
- Which of the following actions can a state securities Administrator take regarding the registration of a broker-dealer?