Series 63 practice questioneasyCriminal Penalties—Willful Violations
Which of the following must be present for criminal penalties to be imposed under the USA?
- ANegligent violation of the Act
- BWillful violation of the Act✓ Correct answer
- CAccidental violation by an agent
- DAdministrative oversight
Explanation
Why B — Willful violation of the Act
Criminal penalties under USA Section 409 require a willful violation. Negligence, accident, or oversight alone are not sufficient for criminal prosecution.
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