SEC v. Scoville, 913 F.3d 1204 (10th Cir. Jan. 24, 2019)

In an appeal involving the SEC’s civil enforcement action against an alleged Ponzi scheme based in Utah, the Tenth Circuit held that Congress intended the antifraud provisions of the federal Securities Acts to apply extraterritorially according to the judicially-created conduct and effects test, so as to reach the sale of online advertisements to people living outside the United States.  Here, where the defendant’s conduct in the United States constituted significant steps in furtherance of a violation of the antifraud provisions, and where the conduct occurring outside of the United States had a substantial effect within the United States, the provisions applied, and the preliminary injunctions were upheld.