________ by an accountant is not a violation of Section 10(b) and Rule 10b-5 of the Securities Exchange Act of 1934.

Question

Quizplus · Accepted Answer

Section 10(b) and Rule 10b-5 of the Securities Exchange Act of 1934 are designed to prevent fraudulent trading on insider information and deceptive practices in the securities markets. Ordinary negligence, which involves a lack of due care but not intentional or reckless behavior, does not rise to the level of fraud or deceit covered by these regulations.

________ by an Accountant Is Not a Violation of Section