12 CFR 16.32 - Fraudulent transactions and unsafe and unsound practices.

§ 16.32 Fraudulent transactions and unsafe and unsound practices.
(a) No person in the offer or sale of bank securities shall directly or indirectly:
(1) Employ any device, scheme or artifice to defraud;
(2) Make any untrue statement of a material fact or omit to state a material fact necessary in order to make the statements made, in light of the circumstances under which they were made, not misleading; or
(3) Engage in any act, practice, or course of business which operates as a fraud or deceit upon any person, in connection with the purchase or sale of any security of a bank.
(b) Nothing in this section limits the applicability ofsection 17 of the Securities Act (15 U.S.C. 77q) or section 10(b) of the Exchange Act (15 U.S.C. 78j) or Rule 10b-5 promulgated thereunder (17 CFR 240.10b-5).
(c) Any violation of this section also constitutes an unsafe or unsound practice under12 U.S.C. 1818.
(d) Commission Rule 175 (17 CFR 230.175—Liability for certain statements by issuers) applies to this part.

Title 12 published on 2015-01-01.

No entries appear in the Federal Register after this date, for 12 CFR Part 16.