Accountants are subject to civil liability under the Securities Act of 1933 if the financial statements they prepare or certify for inclusion in a registration statement contain any untrue statement or omit any material fact, but only if reliance on the financial statements is proven.

Question

Quizplus · Accepted Answer

Accountants can be held liable under the Securities Act of 1933 for any material misstatements or omissions in financial statements included in a registration statement, regardless of whether investors actually relied on those financial statements.

Accountants Are Subject to Civil Liability Under the Securities Act