Quick Answer
The Administrator issues cease and desist orders and securities stop orders. Final registration discipline requires public interest, a statutory ground, notice, a hearing opportunity, and written findings. A temporary summary suspension may precede ordinary process. Judicial review does not automatically stay an order, but the court may order a stay.
The whole unit on one sheet: what the Administrator orders alone, final discipline versus temporary orders, and the numbers the exam swaps.
What Can the Administrator Order Without a Court?
- A cease and desist order, with or without a prior hearing, and with no court approval. It reaches anticipated violations too.
- A summary postponement or suspension of a registration pending final determination, expressly carved out of the notice-and-hearing requirement.
- Injunctions remain judicial. Only a court grants them, along with rescission, restitution, and disgorgement.
What Does the Two-Prong Test Require?
- A final denial, suspension, or revocation of a person's registration requires the public interest AND a statutory ground, plus notice, a hearing opportunity, and written findings. An initial summary suspension pending the proceeding is separate.
- Stop orders block, suspend, or revoke a securities registration under the same two-prong test.
- Cancellation is different. It is housekeeping for a registrant that no longer exists, ceased business, was adjudicated mentally incompetent or placed under specified control, or cannot be located after reasonable search. It needs no public-interest finding, but the order still requires prior notice, a hearing opportunity, and written findings.
How Do Notice Filings Work for Federal Covered Securities?
- A federal covered security is exempt from state registration, but the Administrator may still require a notice filing and fee for most categories, and may stop-order it for a filing failure.
- Required notices for the uncapped Regulation D tier are due within 15 days of the first in-state sale.
- Exchange-listed covered securities are the exception: no state notice filing or fee, and no stop order under the notice-filing provision. State antifraud remedies remain available.
Which Numbers Must You Lock In?
| Item | Value |
|---|---|
| Appeal a final order to court | within 60 days after entry |
| Hearing set after a summary suspension | within 15 days of the written request |
| Securities stop-order proceeding based on facts known at effectiveness | instituted within 30 days after effectiveness |
| Suspension/revocation based solely on an applicant-disclosed final order before initial registration | instituted within 90 days after registration; not a renewal rule |
| Withdrawal becomes effective | 30 days after receipt, or a shorter period the Administrator sets |
Which Gotchas Are Tested Most?
- Cease and desist is administrative; an injunction is judicial. "Who can enjoin?" is always the court.
- Final discipline needs both prongs. Neither public interest nor a statutory ground is enough alone; distinguish a final order from an initial summary suspension.
- These are limited bars, not general enforcement deadlines. The 30-day bar concerns securities-registration facts known at effectiveness. The 90-day bar concerns suspension or revocation based solely on an applicant-disclosed final order before initial registration; stayed or appealable orders and renewals are outside that special rule.
One-Breath Recap
The Administrator issues cease and desist orders, may summarily suspend registration pending proceedings, and stop-orders securities registrations. Final denial, suspension, or revocation needs public interest, a statutory ground, notice, a hearing opportunity, and written findings; cancellation is housekeeping. A court grants injunctions and monetary remedies. Judicial review does not automatically stay an order, but the court may specifically order a stay.
Need more than the recap? Read the full Administrative Actions unit.