In order to limit the use of a shell company, the SEC has proposed:

Question

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The SEC has proposed greater financial disclosures in order to limit the use of shell companies. This would require the companies to provide more information about their finances and ownership structure, making it harder for them to be used for fraudulent or illegal activities. Eliminating shell companies altogether may not be feasible or practical, and arresting promoters would only address a symptom of the problem rather than the root cause. Selling shares only in foreign countries would not address the issue of using shell companies for illegal purposes.

In Order to Limit the Use of a Shell Company