Section 9
SEC. 9. Grounds for the rejection of registration.--The Commission may reject a registration statement and refuse to issue a permit to sell the securities included in such registration statement if it finds that— (1) The registration statement is on its face incomplete or inaccurate in any material respect or includes any untrue statement of a material fact or omits to state a material fact required to be stated therein or necessary to make the statements therein not misleading; or (2) The issuer or registrant— (i) is not solvent or not in sound financial condition; (ii) has violated or has not complied with the provisions of this Act, or the rules promulgated pursuant thereto, or any order of the Commission; (iii) has failed to comply with any of the applicable requirements and conditions that the Commission may, in the public interest and for the protection of investors, impose before the security can be registered; (iv) has been engaged or is engaged or is about to engage in fraudulent transactions; (v) is in any other way dishonest or is not of good repute; or (vi) does not conduct its business in accordance with law or is engaged in a business that is illegal or contrary to government rules and regulations. (3) The enterprise or the lousiness of the issuer is not shown to be sound or to be based on sound business principles; (4) An officer, member of the board of directors, or principal stockholder of the issuer is disqualified to be such officer, director, or principal stockholder; or (5) The issuer or registrant has not shown to the satisfaction of the Commission that the sale of its security would not work to the prejudice of the public interest or as a fraud upon the purchasers or investors, (n)