Q who are the persons liable with regard to fraud

Q: Who are the persons liable with regard to
fraud with connection to prospectus,
communications and reports?
A:
1. Any person who offers to sells or sells
a. in violation any provisions on
registration of securities; and
b. by the use of any means or
instruments of transportation or
communication, by means of a
prospectus or other written or oral
communication.
Q: Who are the persons liable with regard to
fraud in connection with security transactions?
A: Any person who engages in any act or
transaction in violation of Sections 19.2, 20 or 26
of SRC.
Q: Who are the persons liable for the
manipulation of security prices?
A: Any person who willfully participates in any act
or transaction in violation of Section 24 shall be
liable to any person who shall purchase or sell any
security at a price which was affected by such act
or transaction.
Q: Who are the persons liable with regard to
insider trading?
A: Any person in case of legal tender who:
1. Purchases or sells a security while in
possession of material information not
generally available to the public.
2. Communicates material non public
information
Q: How are the persons enumerated liable?
A: Jointly and severally
Q: What is the prescriptive period for filing of
action?
A: 2 years after the discovery of the facts
constituting the cause of action and within 5
years after such cause of action accrued
Q: What court has the jurisdiction over civil
liabilities?
A: Regional Trial Court

S
ECURITIES
R
EGULATION CODE
U
N I V E R S I T Y O F
S
A N T O
T
O M A S
F a c u l t a d d e D e r e c h o C i v i l
A
CADEMICS
C
HAIR
: L
ESTER
J
AY
A
LAN
E. F
LORES
II
V
ICE
C
HAIRS
F
OR
A
CADEMICS
: K
AREN
J
OY
G. S
ABUGO
& J
OHN
H
ENRY
C. M
ENDOZA
V
ICE
C
HAIR FOR
A
DMINISTRATION AND
F
INANCE
: J
EANELLE
C. L
EE
V
ICE
C
HAIRS FOR
L
AY
O
UT
A
ND
D
ESIGN
: E
ARL
L
OUIE
M. M
ASACAYAN
& T
HEENA
C. M
ARTINEZ
Q: What is the limitation for awarding damages?
A:
1. The court can award not exceeding
triple the amount of the transaction
plus actual damage
2. The court is also authorized to award
attorney s fees not exceeding 30%of the
award
Q: When may the court award exemplary
damages?
A: In cases of:
1. Bad Faith
2. Fraud
3. Malevolence or
4. Wantonness in the violation of SRC or the
rules and regulations promulgated