International Securities Fraud

The combination of economic globalization and technological advancement have increased the risk of securities fraud.  U.S. courts treat security law violations having a real impact on the U.S. market as a criminal violation whether it occurs within the U.S. or abroad  In 1990, Congress enacted the International Securities Enforcement Cooperation Act of 1990 ("International Enforcement Act") to enhance SEC’s extraterritorial jurisdiction.

In 1983, 11 security regulatory agencies formed the International Organization of Securities Commissions (IOSCO)

• to cooperate together to promote high standards of regulation in order to maintain just, efficient and sound markets;
• to exchange information on their respective experiences in order to promote the development of domestic markets;
• to unite their efforts to establish standards and an effective surveillance of international securities transactions;
• to provide mutual assistance to promote the integrity of the markets by a rigorous application of the standards and by effective enforcement against offenses.