Edited sentence: Although the brokerage firm did not perpetrate the pump and dump scheme, it was in a position to observe the illicit activity.Because Park Financial did not file the SARs, the SEC said Park Financial essentially aided and abetted Crowley's fraud.Imputing brokerage liability will reduce the number of pump and dump scams in the country and will further protect the investor's interest.In 2005, the SEC fined Crowley $6.1 million.Now in 2007 the SEC wants to punish the brokerage house of Park Financial Group for not reporting suspicious activities in Crowley's account.Park Financial was supposed to file Suspicious Activity Reports (SARs) when it discovered red flags indicating Crowley's involvement in a pump and dump scam.The primary violator was Dennis Crowley, the CEO of Spear & Jackson.This is a step in the right direction