You are an associate at ABC LLP, a forensic accounting firm. Your company is retained by the Law Firm that is representing a client. The client, the former CFO of the Public Company, is being investigated by the SEC and FBI for apparently running a large accounting fraud scheme and funneling money to his own account through wire transfers after allegedly falsely invoicing sales during 2017 and 2018. During that period of time, the Public Company offered stock to investors on several occasions and the CFO signed the offering documents. The apparent accounting fraud scheme may have artificially inflated the company's stock price by 25% during 2017 and 2018. The Auditing Firm audited the Public Company and issued opinion letters in connection with the Public Companys 2017 and 2018 annual reports.

You are just getting up to speed on the case, but the ABC Partner asked for you to help analyze the issue in connection with the Law Firm.

Assignment:

1. Identify at least five SEC statutory sections or rules AND three criminal statutory sections that might apply to the CFOs conduct referenced above. After identifying these laws, describe (1) your understanding of the laws; and (2) what the SEC and/or the USAO would need to prove if the CFO was sued/charged for violating the law to prevail (meaning, what are the elements of the offense).