On June 9, 2021, the United States District Court for the Northern District of California entered a final judgment against Bingqing Yang, the CEO of Luca International, LLC, in a previously-filed action against eight defendants alleging an affinity fraud scheme that generated more than $68 million from illegal sales of securities in an oil and gas venture. The entry of a judgment against Yang fully resolves the Commission’s lawsuit.
Without admitting or denying the allegations against her, Yang consented to entry of a final judgment permanently enjoining her from violating Section 17(a) of the Securities Act of 1933, Section 10(b) of the Securities Exchange Act of 1934 and Rule 10b-5 thereunder, and Sections 206(1), (2) and (4) of the Investment Advisers Act of 1940 and Rule 206(4)-8 thereunder, from participating in the issuance, offer or sale of any security of an entity she controls; from soliciting any person or entity to purchase or sell any security; and from acting as an officer or director of a public company. The final judgment also orders Yang to pay $209,672 in disgorgement and $64,579 in prejudgment interest, and a $425,749 civil penalty.
SEC (Securities and Exchange Commission) lawyers specialize in navigating the complex regulatory landscape of securities law in the United States. These legal professionals play a crucial role in ensuring that companies comply with federal securities regulations, which are designed to protect investors and maintain the integrity of financial markets.
An SEC lawyer’s responsibilities include advising clients on matters related to securities offerings, mergers and acquisitions, corporate governance, and compliance with SEC rules. They also represent clients in investigations and enforcement actions brought by the SEC, where they defend against allegations of securities fraud, insider trading, and other violations.
Due to the high stakes involved, SEC lawyers must possess a deep understanding of financial regulations, as well as the ability to analyze and interpret complex legal documents. They often work with corporations, financial institutions, investment advisers, and public companies to ensure that all transactions and disclosures are in line with SEC requirements.
In addition to their advisory role, SEC lawyers are also involved in litigation, representing clients in court or in administrative proceedings. Their expertise is critical in helping businesses avoid costly penalties and reputational damage, making them indispensable in the financial and corporate sectors.