Which of the following statements is false about marketing securities on the internet?

- SEC regulations do not apply to online advertising and securities transactions.

- The SEC has issued cease-and-desist orders against companies that illegally offered free stock on their websites because they had not registered their stocks with the SEC.

- Companies are permitted to sell securities online in an initial public offering (IPO).

- Some websites allow customers to buy and sell securities online.

- The SEC maintains a database to help investors access information about IPOs.