tion of Rule X-15B-2 of the Commission's rules under the Act, failed to supplement his registration statement to correct information in the registration statement which was no longer accurate, held that it is in the public interest to revoke registration . . . Page 27. ... Where the registrant is permanently enjoined from engaging in or continuing certain conduct and practices in connection with the sale of any security, and where registrant consented to the entry of an order revoking his registration as a broker-dealer, held that it is in the public interest to revoke registration . . . Pages 218, 524. Where the registrant is permanently enjoined from engaging in or continuing any conduct or practice in connection with the sale of any security, which injunction was issued on the basis of a complaint charging that the registrant, in the conduct and transaction of its securities business, engaged in various practices to defraud and deceive the public, held that it is in the public interest to revoke registration . . . Page 222. ... Where registrant was permanently enjoined from engaging in and continuing certain conduct and practices in connection with the purchase and sale of securities; where, in violation of Rule X-15B-2 of the general rules and regulations promulgated under the Act, registrant failed to supplement his registration statement and report the entry of such injunction; and where registrant has been associated with a number of securities firms which have been enjoined from engaging in and continuing certain conduct and practices in connection with the sale of securities and has been imprisoned on conviction for conspiracy to defraud; held that it is in the public interest to revoke registration . . . Page 669. SUSPENSION OR EXPULSION FROM MEMBERSHIP ON AN EXCHANGE Public Interest ... Where the Commission has issued an order suspending registrants from membership on national securities exchanges and revoking registrants' over-the-counter broker-dealer registration; and where, on rehearing, evidence is presented indicating that the order may reasonably result in the termination of the registrants' business, held, the removal of the registrants from the securities business has been found not necessary in the public interest and for the protection of investors; the order will be modified . . . Page 660. VIOLATION OF SECURITIES ACT AND SECURITIES EXCHANGE ACT Injunction Against Engaging in Conduct or Practice in Connection with Purchase or Sale of Securities Where registrant willfully violated Sections 5 (a) and 17 (a) of the Securities Act of 1933 and Section 15 (c) (1) of the Securities Exchange Act of 1934 in the sale of oil royalties without registration under the Securities Act and by means of materially false and misleading representations; and where registrant is permanently enjoined from engaging in or continuing certain conduct and practices in connection with the purchase and sale of securities, held that it is in the public interest to revoke his registration as an over-the-counter broker and dealer... Page 625. Misrepresentations of Material Facts Where, in the sale of securities to its customers, respondent broker-dealer made material misrepresentations concerning the amount of its profit and the prevailing market price of such securities, held that respondent violated Section: 17 (a) of the Securities Act and Section 15 (c) (1) of the Securities Exchange Act... Page 1043. Public Interest Where the applicant, in purchasing securities ostensibly as an agent for the · accounts of his customers, falsely represented to such customers the prices at which such purchases had been effected and thereby obtained secret profits, and where the applicant acted as agent for both buyer and seller in various securities transactions without disclosing to the buyer the fact that he was also acting as agent for the seller, held that applicant violated Section 17 (a) of the Securities Act of 1933 and Section 15 (c) (1) of the Securities Exchange Act of 1934 and that it is in the public interest to deny his application for registration as an over-the-counter broker-dealer . . . Page 158. Sales of Securities at Prices Bearing No Reasonable Relation to Prevailing Market Prices Where respondent charged customers prices bearing no reasonable relation to prevailing market price, held that the inherent misrepresentation with respect to the current market value of the security was a fraud on the purchasers in violation of Section 17 (a) of the Securities Act and Section 15 (c) (1) of the Securities Exchange Act . . . Page 1043. Taking of Secret Profits by Broker-Dealer Acting as Agent for Customer Where respondent broker-dealer, in the sale of securities to customers whose confidence it had gained and for whom it acted as agent, obtained secret profits by selling such securities at prices greatly exceeding cost and current over-thecounter quotations, held that the course of business of respondent operated as a fraud upon customers in violation of Section 17 (a) of the Securities Act and Section 15 (c) (1) of the Securities Exchange Act, notwithstanding the sending of "dealer confirmations" to customers. . . Page 1043. WITHDRAWAL BY REGISTRANT Where registrant alleged that he mailed notice of request for withdrawal of his registration as a broker-dealer, which notice was not received by Commission, held that notice of withdrawal cannot be deemed to be "filed" with Commission until delivered to proper official and that mere mailing of a notice does not constitute "filing" thereof... Page 669. Where the registrant filed notice of a request for withdrawal of his registration as a broker-dealer after service of Commission's order instituting a proceeding to determine whether such registration should be revoked, held that after institution of revocation proceedings, withdrawal of registration is not a matter of right, but is within the discretion of Commission and, under the particular circumstances of the case, the request for withdrawal is denied and registrant's registration is revoked . . . Page 669. ... DISTRIBUTION, REDEMPTION, AND REPURCHASE OF REDEEMABLE SECURITIES RULES OF REGISTERED NATIONAL SECURITIES ASSOCIATION An amendment to the rules of fair practice of a registered national securities association consisting of an additional rule prescribing the manner in which and the price at which members of the association may purchase, sell, and redeem securities issued by open-end management investment companies in order to insure among other things that such prices accurately reflect the current asset value of such securities held consistent with the requirements of Section 15A (b) (7) of the Securities Exchange Act of 1934, Sections 22 (a) and (b) of the Investment Company Act of 1940 and permitted to become effective... Page 38. SUSPENSION OR EXPULSION OF MEMBERS OF NATIONAL INDUCING QUOTATIONS BY OSTENSIBLY INDEPENDENT DEALER Where, in contemplation of a distribution, respondent, in addition to pub lishing its own quotations for and effecting purchases of a weirity at onaty advancing prices, caused an ostensibly independent broker and Graer y par lish quotations and effect purchases of a security on respondentie bena 1 throug creating a false and misleading appearance of active trading for the p inducing the purchase thereof by others, held that such conduct conatibusters an "act, practice, or course of business which operates or would operate as a fraud or deceit upon any person" within the meaning of Rule X-1561 2 (a) and, bene, constitutes a "manipulative, deceptive, or other fraudulent device or contris ance," the employment of which is prohibited by Section 15 (e) (1) of the Act... Page 338. MANIPULATION OF OVER-THE-COUNTER SECURITIES MARKETS Where the respondents admitted certain facts and conceded that these farty, together with the fair inferences therefrom, warranted a finding that they ind violated Section 15 (c) (1) of the Act and Rule X-1501 2 thereunder BUT WH it was further stipulated that the testimony and exhibits obtained in tu k of the investigation conducted by the Commission's staff might be a m part of the record in this proceeding, held (1) that, upon the tea fata and record thus stipulated, the respondents violated Section 15 4. X-15C1-2 (a) and (b) thereunder in that they manipulate the pengaja market in a particular security and, in addition, in the "at the market" failed to disclose to the purchasers been manipulated by them, and (2) that it is necessar; aut e public interest and for the protection of investors a of Section 15A to suspend the respondents from Securities Dealers, Inc., for periods of 6 weeks, & wore it & wers supl tively... Page 319. Where, in contemplation of a distribution of a share, respondents advanced their bids for the soz a much gr a share, and raised the market price from $5 a 29 supported the bids quoted by purchases at prese and, in view of other circumstances in the red raised the price of the securities for the purpose of shang te gaan lebenf by others and thereby employed a “manipulative device or contrivance" in violation of Section 15 thereunder... Page 319. 1 7 Where the market prices of a security traded our 1. te peg the hiperpa tatket are raised for the purpose of inducing the purus ✔ edin mi vớng ng ký xerra and where such raising of prices would involve visions of Section 9 (a) (2) of the Act had the P conclusion is not affected by the existence of Ku AVE A treated as part of the record in this proceeding, held that upon the basis of the facts and record thus stipulated, (1) respondent violated Section 15 (c) (1) and Rule X-15C1-2 thereunder, in that respondent manipulated the over-the-counter market for and the market price of a particular security and, in addition, engaged in the sale of such security by means of representations as to the over-the-counter market and over-the-counter market price thereof without disclosing to purchasers that such market and market price had been purposely influenced and manipulated by respondent, and (2) that it is necessary and appropriate in the public interest and for the protection of investors, and to carry out the purposes of Section 15A, to suspend the respondent from the National Association of Securities Dealers, Inc., for a period of 3 weeks... Page 338. Where, in contemplation of a distribution of securities, respondent constantly advanced its bid and supported that advance of the bid by purchases, and where respondent was, for the greater part of the period during which it was engaged in advancing the price, the sole market for the securities, and in view of other circumstances in the record, held that respondent raised the price of the securities for the purpose of inducing the purchase thereof by others and thereby employed a "manipulative, deceptive, or other fraudulent device or contrivance" in violation of Section 15 (c) (1) of the Act and Rule X-15C1-2 thereunder... Page 338. MANIPULATION OF OVER-THE-COUNTER SECURITIES MARKETS SALES OF SECURITIES BY MEANS OF REPRESENTATIONS AS TO "MARKET" Where securities are sold by means of representations as to the state of the over-the-counter market for such securities without disclosing to the purchaser thereof that such market and the price of the securities in such market have been influenced and manipulated by the seller, held that the failure so to advise the purchaser is the omission of a material fact and constitutes a violation of Section 15 (e) (1) of the Act and Rule X-15C1-2 thereunder . . . Page 338. SALE OF SECURITIES "AT THE MARKET" ... Where securities are sold "at the market" or by means of representations as to the over-the-counter market price of such securities without disclosing to the purchasers thereof that such price has been manipulated by the sellers, held that the failure so to advise the purchaser is the omission of a material fact and constitutes a violation of Section 15 (c) (1) of the Act and Rule X1301-2 (b) thereunder... Page 319. UNLISTED TRADING PRIVILEGES ADEQUACY OF DISTRIBUTION AND TRADING ACTIVITY Where the applicant exchange was unable to furnish definite information as to the volume of public trading in the security in the vicinity of the exchange, 1.7ễ that evidence that public trading did take place in the predecessor securities of the same issuer and that member firms having offices in New York City traded in a substantial amount of the subject security enables the Commission to find that there exists in the vicinity of the applicant exchange suffiewer public trading activity therein and sufficient public distribution to render the extension of unlisted trading privileges thereto appropriate in the public 1eyes, and for the protection of investors . . . Pages 349, 599, 805. We the applicant exchange furnished distribution information which wax meg, consideration of the fact that a predecessor security was listed and my stored on the applicant exchange, and of the fact that a small number or wander firms thereof having offices in New York City traded in a subscent et amunt of the subject security during the period of 1 year, enables the Commission to find that there exists in the vicinity of the applicant exchange sufficient distribution to bring about an active market on the exchange adequate to absorb transactions of normal size . . . Pages 349, 877. ... Applicant exchange held to have established that there exists in the vicinity of such exchange sufficiently widespread public distribution and sufficient public trading activity within its vicinity in the securities for which unlisted trading privileges are sought to render the extension of such privileges thereto appropriate in the public interest and for the protection of investors . . . Pages 349, 599, 805, 877. It was further held that such extension of unlisted trading privileges would otherwise be appropriate in the public interest and for the protection of investors... Pages 349, 805, 877. ADEQUACY OF INFORMATION FILED WITH THE COMMISSION The registration of securities pursuant to the provisions of the Securities Act of 1933 or pursuant to the provisions of Section 12 (f) (3) of the Securities Exchange Act of 1934 together with the current filings required by either of these statutes or the rules and regulations promulgated thereunder provide information substantially equivalent to that available pursuant to the rules or regulations of the Commission in respect of securities duly listed and registration on a national securities exchange . . . Pages 349, 599, 877. DUTIES OF THE ISSUERS, OF THE OFFICERS AND DIRECTORS OF THE ISSUERS, AND OF EVERY BENEFICIAL OWNER OF MORE THAN 10 PERCENT OF THE SECURITIES Although the Act provides that no application to extend unlisted trading privileges to any security pursuant to clause (3) of Section 12 (f) shall be approved by the Commission except upon such terms and conditions as will subject the issuer thereof, the officers and directors of such issuer, and every beneficial owner of more than 10 percent of such security to duties substantially equivalent to the duties which would arise pursuant to the Act if such security were duly listed and registered on a national securities exchange, the promulgation by the Commission of Rule X-12F-4, pursuant to statutory authority, exempts such issuers, officers, directors, and stockholders from the duties enumerated above. . . Pages 349, 877. TERMINATION Proceedings by Commission Where proceedings have been instituted by the Commission to determine whether unlisted trading privileges should be terminated because the issuer had withdrawn the security from listing on any exchange, and where it has been established to the satisfaction of the Commission that such delisting was not designed to evade the purposes of the Act, held that the proceedings Instituted by the Commission be dismissed... Page 235. Where proceedings have been instituted by the Commission to determ whether unlisted trading privileges should be terminated because ti had withdrawn the security from listing on any exchange, and when I am been established to the satisfaction of the Commission that suci deurig ng not designed to evade the purposes of the Act, held that it is unnecesar P Commission to consider whether the continuation of unlisted traque pre such security is or is not necessary or appropriate in the pot ser the protection of investors ... 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