Adrian, the chief executive officer of Beds+Sofas, Inc., intentionally understates the amount of Beds+Sofas' debts in information provided to investors as part of an issue of Beds+Sofas' stock. Cassie buys the stock and suffers a loss. Adrian may be subject to
A) criminal prosecution and Cassie's suit.
B) negative publicity but no criminal prosecution or civil suit.
C) only government prosecution.
D) only Cassie's suit.
Correct Answer:
Verified
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