SEC

SEC stands for Securities and Exchange Commission. It is the government agency formed in 1934 as part of the New Deal, to oversee the stock and bond trades that take place on American Stock exchanges.

The SEC was created by the Securities Exchange Act. It regulates interstate securities transactions and strives to protect investors and prevent fraud. The commission reads the financial disclosures of publicly traded companies including disclosures required by the Sarbanes-Oxley Act and has the legal authority to prosecute violators of securities laws.

https://accounting.uworld.com/cpa-review/lc/accounting-dictionary/term/sec/