History of the SEC (Securities Exchange Commission)
Before the Great Depression, there was little regulation of the US securities markets. Fraud was more likely to occur because the federal government never followed through with financial disclosure requirements.
During the peak of the Great Depression, congress passed the Securities Act of 1933. This law, coupled with the Securities Exchange Act of 1934, was designed to give investors confidence in our markets by providing more reliable information and ruled for honest dealing in the securities markets.
When you go public you must comply with SEC Regulations. Our next month News article will feature information on public shell and reverse merger.