Revocation of broker's, dealer's and salesman's registration.
Section 20
SEC. 20. Revocation of broker's, dealer's and salesman's registration.—Registration under this Act may be refused, or any registration granted may be revoked, by the Commission if, after reasonable notice and hearing, the Commission determines that such applicant or registrant so registered: Has violated any provision of this Act or any regulation made hereunder; or Has made a material false statement in the application for registration; or Has been guilty of a fraudulent act in connection with any sale of securities, or has been or is engaged or is about to engage in making fictitious or pretended sales or purchases of any of such securities or has been or is engaged or is about to engage in any practice or sale of securities which is fraudulent or in violation of the law; or Has demonstrated his unworthiness to transact the business of broker, dealer or salesman. In cases of charges against a salesman, notice thereof shall also be given the broker or dealer employing such salesman. Pending the hearing, the Commission shall have the power to order the suspension of such broker's, dealer's or salesman's registration: Provided, That such order shall state the cause for such suspension. Until the entry of a final order, the suspension of such broker's or dealer's registration, though binding upon the persons notified thereof, shall be deemed confidential, and shall not be published, unless it shall appear that the order of suspension has been violated after notice. The order of the Commission refusing or revoking a registration as hereinabove provided, together with its findings, shall be entered in the Register of Brokers, Dealers and Salesmen. The suspension or revocation of the registration of a dealer or broker shall also automatically suspend or revoke the registration of all his salesmen. It shall be sufficient cause for refusal or cancellation of registration in case of a partnership or any officer or director of the corporation or association has been guilty of any act or omission which would be cause for refusing or revoking the registration of an individual dealer, broker or salesman. (15a)