SEC Sues Penny Stock Brokerage: The SEC...
From Times Staff and Wire Reports
SEC Sues Penny Stock Brokerage: The SEC filed a civil lawsuit in U.S. District Court in Manhattan accusing a New York firm of using illegal sales practices to induce investors to buy over-the-counter securities. The SEC alleges that Wellshire Securities Inc. operated as a penny stock “boiler room” from July, 1988, to the present; that it made exorbitant price predictions; gave false stock information; made unauthorized sales, and tried to stop clients from selling securities. Wellshire had no comment.
