stock trading times
stock trading times
What are the penalties, if any, for trade in a population that has been suspended by the SEC?
Let's say that Alice owns 100 shares @ $ 40 per share of shares of Red Hat. Whatever the reason for the SEC to suspend trading of the shares of Red Hat for x amount of days. During that time, contacts Alice and Bob offers to buy your 100 shares for $ 50, on the counter. Are there penalties for either Alice or Bob whether to proceed with the agreement, while trading is suspended?
Alice can "sell" the shares to Bob by assigning the certificate to Bob for Bob pay X amount of dollars. No punishment or any other repercussions. In awarding the certificate, Alice will complete the "assignment" section on the back of the certificate, a sign at the bottom right you signature must be guaranteed by a B / D or a national bank. This is considered a "private" for transactions and is not really covered by the SEC unless Bob and Alice are initiated. While inside information, the transaction is prohibited. Neither can "trade" on the counter as this involves using a D / B on a recognized market which is prohibited by the SEC
