Accountants can be held liable under Section 11 of the Securities Act of 1933.

Question

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Under Section 11 of the Securities Act of 1933, accountants can be held liable for material misstatements or omissions in financial statements or reports included in a registration statement. This means that if investors suffer losses due to inaccurate financial information provided by the accountant, they have the right to sue and hold the accountant accountable.

Accountants Can Be Held Liable Under Section 11 of the Securities