Definition of Disgorgement of Profits

What does the term "disgorgement of profits" mean? What is the definition of the term "disgorgement of profits"?

You may have come across the term "disgorgement of profits" while reading up about a case that has been brought by the SEC.

"Disgorgement of profits" is the forced return of profits that have been gained through "illegal or unethical acts".

Example: A person has been accused by the SEC of engaging in a "pump and dump" scheme.

The SEC, in addition to several other fines and methods of punishment, is seeking a "disgorgement of profits" from the accused person.

The accused reportedly made $500,000 in the scheme, which is the amount that the SEC is seeking when it comes to the "disgorgement of profits".

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